Japan's Kawasaki Heavy Industries (KHI) intends to axe 20% of its shipyard workers.

The company said it will also close one of its two docks in Sakaide, according to the Nikkei daily.

Redundancies could total 400 people, but at least half of the positions will be lost through retirement and recruitment reductions.

The remaining workers could be re-assigned.

Sakaide, an LNG carrier specialist, is expected to stop making new vessels in 2019 after orders slumped.