yes, 052C was really expensive, because there was a huge up front development cost for the air defense system and the combat system. And after it, you still need a lot of real world testing, which adds to the cost. But now that the system is more mature, they can produce it at much lower cost, which is what they are doing.
PLAN does have a finite budget, but they also have probably the lowest procurement cost in the world. They have been able to lower the per unit cost. The recent systems have all gone through the process of producing a prototype or two and then mass producing. It is even happening for Type 071 now, which should be pretty expensive when you factor in the accompanying LCAC and helicopters.
just to give you an idea.
2003 is the launch of first 052C. roughly 4-5 years later it was still doing test shots in SCS testing area.
I meanwhile the Ludas are near death and china really didn’t have ocean going ships to fill the ranks. Jiangnan is moving to Changxing and the ability to build destroyers is moving too.
Also on cost.
China really doesn’t have as big of unit cost advantage as one thinks.
If you build ships in serial and using modern modular techniques the cost for JP/SK/US to build a Arleigh Burke is actually very competitive vs China to do a similar product at 2 off batches.
having a dedicated yard that is not doing any other work;
using modern techniques ;
a single line of ships;
in really large quantity.
…really does help to lower the unit cost.
the expectation is that Jiangnan at Changxing Island will dedicate one yard to naval ships. same goes with the new Longxue yard in Guangzhou.
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