China Rongsheng says workers laid off, warns of H1 profit loss
HONG KONG, July 5 (Reuters) - China Rongsheng Heavy Industries Group, China's largest private shipbuilder, has laid off some workers and is also delaying payments to suppliers and other employees, the company said on Friday.
China Rongsheng said it was expecting a net loss for the six months that ended June 30, 2013 from a year earlier, according to a filing to the Hong Kong stock exchange.
It did not confirm media reports it had laid off 8,000 workers in recent months.
"On 2 July 2013, certain workers who have been made redundant during the workforce restructuring and optimization process have formed a blockade outside the headquarters of the Group's production base in Nantong," the company said.
Trading in shares of China Rongsheng will resume on Friday after being suspended on Thursday. On Wednesday, its shares closed down 10 percent at HK$1.06.
China Rongsheng is a major supplier of bulk carriers that ship iron ore from producer nations such as Brazil to China. Brazil's Vale is one of its customers.
(Reporting by Clement Tan and Twinnie Siu; Editing by Dean Yates)