The Funing is currently anchored near the base of Mauao with two Port of Tauranga tug boats in attendance.
The ship has approximately 20 people on board including a Port of Tauranga pilot. The incident occurred about 12.30 am as the Funing departed Port of Tauranga for China.
Maritime New Zealand and the Tauranga Harbourmaster are in attendance and all other shipping is on hold.