A cruise ship berths at a port in Shanghai. [Photo/WeChat account of China (Shanghai) Free Trade Zone]

Construction started on a cruise ship interior decoration manufacturing project in Pudong New Area, Shanghai on Jan 11.

Sponsored by the Shanghai Waigaoqiao Free Trade Zone Group, the project covers an area of about 67,000 square meters and is expected to generate 1 billion yuan ($144.9 million) in annual sales revenue at full capacity.

It is scheduled to be completed in July and will primarily produce cabins for China's first domestically-made large cruise ship, a Vista-class vessel that is currently under construction in Shanghai.

Cruise ships are among the most complicated vessels to build due to strict requirements in their design, craftsmanship, operation, and management.

Officials said the launch of the interior decoration project as an essential supporting facility for cruise ship building will accelerate the domestication of such vessels.

The project is also expected to help attract more related companies to the Waigaoqiao area, forming an industrial cluster for cruise ship building, a local official said.

To this end, the local administration will invest nearly 10 billion yuan into the construction of a supply cluster, a service provider cluster, and a talent cultivation center for the cruise ship industry.

Sun Yizhong, deputy chief of Gaodong town, which is located near Shanghai Waigaoqiao Shipbuilding Co, revealed at the launch ceremony that the town is working to build a special cruise ship town.

"The town will not only serve production, but also offer office buildings, training venues, accommodation and entertainment for professionals engaged in the industry," said Sun.