Fabrication and Shipyard Execution in Asia: Choosing the Right Partner in China, South Korea, Thailand and Indonesia

Key Takeaways: 

• Compliance is vital: The complex and varied labour laws across Asia present major legal and financial risks. Partnering with a specialist that has its own local legal entities greatly simplifies full compliance from day one.
• A blended workforce is essential but complex: Success requires a strategic mix of local expertise and global expatriate talent. However, this introduces significant challenges in terms of logistics (visas, accommodation, etc) and culture (ethics, behaviours, etc) that must be proactively managed.
• Early engagement de-risks investment: Involving your recruitment partner before the final investment decision (FID) provides crucial intelligence on local talent availability and costs, leading to more accurate budgeting and de-risking the project from the outset.
• A partner provides more than just people: The value of a specialist partner extends beyond recruitment to include full contractor support – handling immigration, payroll, accommodation and welfare – which is essential for maintaining a productive and stable workforce.
• A partner’s embedded presence mitigates risk: A partner with established local teams and relationships offers real-time market intelligence and on-the-ground support, streamlining execution and providing a layer of risk mitigation.

Asia’s industrial coastline – from the enormous yards of Geoje to the hubs of Batam – is seeing a boom in fabrication and shipbuilding. As a result, in 2025 the Asia-Pacific region leads with around a 38% share in the global shipbuilding and offshore rig fabrication and repair market

For energy and engineering companies, the appeal of these regions is clear: an unparalleled scale, competitive costs and a proven track record. 

But there are significant challenges in terms of fabrication and shipyard recruitment, as well as in many other Asian industries. How do you mobilise a skilled, compliant and integrated workforce thousands of miles from headquarters? The answer is to ensure early engagement with a fabrication workforce solutions partner that has established local entities and networks across the region.

This blog looks at the challenges when hiring workers in Asian fabrication and shipyards, as well as what a partner with expertise in both the industry and region, such as NES Fircroft, can offer.

Blending Local Expertise with Global Experience: Risks and Challenges

A successful large-scale fabrication project requires a blend of talent. Local workers provide indispensable regional knowledge and cultural fluency, while expatriates often bring specific, hard-won technical expertise from similar projects worldwide. Access to both pools is critical.

But deploying expatriates in another country isn’t straightforward, with several barriers to overcome: 

• Legal: Labour laws can vary considerably between countries, which means that compliance is a complex and time-consuming task. These issues range from misclassification of contractors – leading to severe fines and project delays – to breaches of immigration laws for expatriate staff. Incorrect payroll management can trigger tax issues for both the worker and the company. These are not just administrative oversights either – they are major threats to project continuity and corporate reputation. Therefore, effective fabrication workforce solutions must be built on a foundation of strict legal compliance.
• Logistical: Mobilising expatriate talent involves navigating an array of logistical issues, such as visa applications, providing suitable accommodation, and arranging schooling and other relocation services. 
• Cultural: The cultural differences when working in Asia are sometimes overlooked. For example, there can be very different work ethics, communication styles beyond language, everyday behaviours, management styles and approaches to safety standards. 

The Value of a Specialist Recruitment Partner

The first and most non-negotiable hurdle is legal compliance. Asian labour markets are characterised by intricate and frequently evolving regulatory frameworks. So, the question is about not just finding talent, but also ensuring compliance from day one.

The solution is to partner with a specialist that operates its own local legal entities in each country. This ensures that every worker – whether a local hire in Thailand or an expatriate welder in South Korea – is employed with a watertight contract that meets local statutory requirements, from severance pay and social security to maximum working hours.

For example, using a partner’s Employer of Record (EOR) services can simplify project management in Asia without having to go through the lengthy process of establishing your own in-country presence.

But the benefit of a specialist partner is not just legal compliance. A partner that offers full logistical contractor support – handling everything from immigration and payroll, to accommodation and ongoing welfare – helps your workers to remain focused, productive and stable. Also, the region-specific cultural expertise of a partner is invaluable to help your workers integrate themselves into both their workplace and local community.

There are also competitive advantages to partnering with a specialist in the region. For example, an embedded partner operates with a network of established relationships and real-time market intelligence, which you gain immediate access to. 

Ultimately, your recruitment partner doesn’t just supply staff – they also provide invaluable local and experienced on-the-ground support.

Early Engagement is Key

Too often, companies treat workforce planning as a final item on the pre-execution checklist, but this can be a costly mistake. The most successful projects are those where the recruitment partner is engaged before the final investment decision (FID).

This is because an experienced partner can conduct a detailed analysis of specific yards and regions. They can identify the local availability of specialised skills and provide accurate data on the cost implications of sourcing certain roles locally versus internationally. This intelligence allows for more accurate budgeting and scheduling, de-risking the FID and ensuring your project is based on a realistic understanding of workforce requirements. This proactive approach transforms fabrication and shipyard recruitment from a reactive cost into a strategic investment.

Partnering for Execution

Executing a major fabrication or shipyard project in Asia is a big undertaking. The difference between success and failure frequently rests on the calibre of your workforce and the partner you choose to manage it. This demands more than just a simple recruitment agency – it requires a strategic ally with local entities already in place, region-specific knowledge and a proven track record of embedding teams in these yards. 

NES Fircroft is a specialised fabrication recruitment partner providing expert workforce management solutions across Asia’s key hubs, including China, South Korea, Thailand and Indonesia. We partner with our clients to de-risk project execution through our immigration services and local entities, providing comprehensive contractor support. 

Contact us today to find out how we can support your next fabrication and shipyard project in Asia.