Chinese stocks closed lower on Friday, dragged down by the ship building sector.

The benchmark Shanghai Composite Index went down 0.75 percent to end at 3,021.47 points. The Shenzhen Component Index closed 1.44 percent lower at 9,939.26 points.

Combined turnover stood at 356.2 billion yuan (55.5 billion U.S. dollars), up from 317.4 billion yuan the previous trading day.

More than 2,500 shares on the two bourses lost with the ship building sector leading the decline.

The sub-index for the ship building sector declined 3.97 percent, followed by a 2.25-percent decrease in the food sector and 1.6-percent drop in the transportation sector.

CSSC Offshore & Marine Engineering lost 7.03 percent to close at 13.76 yuan per share, and China Shipbuilding Industry dropped 2.56 percent to close at 4.19 yuan per share.

The ChiNext Index, which tracks China's NASDAQ-style board of growth enterprises, lost 1.94 percent to close at 1,640.90 points Friday.