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reach 9,000 workers. The employ- ment of West German shipyards decreased from 30,400 to 28,300.

The development of exchange rates led to a partial relief of competitive pressure by devaluation of the

Deutsche Mark (DM) against the

U.S. dollar, the yen and the won, but on the other side the DM rose strongly in value against most of the other European currencies. This led to some contracts going to ship- yards in Finland and The Nether- lands.

Considering the discussions on the quality of Germany as a suit- able location for industries, VSM ordered a comprehensive study on the perspectives of the competitive- ness of the German shipbuilding industry. Roland Berger & Part- ner, the well-known consultants, came to the conclusion that the shipbuilding industry is very effi- cient and has a leading technologi- cal position for sophisticated ships and naval craft. However, the com- petitiveness is endangered by high labor costs, which keep German shipyards away from bigger mar- kets for vessels such as tankers and bulk carriers.

Thus, to keep the industry com- petitive for the future, German ship- builders have to take the following actions: • intensify efforts to increase pro- ductivity • more outsourcing of production • more intensive forms of coopera- tion • intensification of research and development • cooperation among the maritime industries within Germany and

Europe.

These efforts can only be suc- cessful if they are supported by corresponding governmental eco- nomic policy.

Some German yards have already taken action. The big yards started campaigns to raise productivity by more effectively motivating employ- ees and by large investments into more effective plants.

Howaldtswerke-Deutsche Werft AG (HDW), Kiel created its plan "Ship- yard 2000," which is projected to raise productivity 40 to 50 percent.

HDW invests in new production methods, cutting and welding lines, semi-automatic panel fabrication, highly automated bloc assembly, complete new corrosion protection and a high grade of pre-outfitting of their blocs. HDW reportedly has and will pay for these improvements from its own earnings.

Yards in Wismar, Warnemiinde,

Rostock, Stralsund, Wolgast and

Boizenburg are receiving rebuilt, newly equipped plants from the re- structuring program of the German government for East German yards.

There was a long-lasting fight for privatization and for the final look of the yards. Today West German yards feel strong pressure from East Ger- man yards in the daily fight for new orders.

This is partly the reason that 17 western yards are cooperating un- der a self-formed roof to become more competitive. The yards have joined forces to make investments together they would not be able to make alone.

It means that, for example, cutting and welding of plates and profiles is done at one yard, and the assembly of blocs and oufitting to complete the ships is done at another. The yards want to be able to build a longer series of ships in cooperation with different yards.

Bremer Vulkan Group is heavily involved in the privatization of East

German yards. Bremer Vulkan be- came owners of MTW Schiffswerft in Wismar, DMR Dieselmotorenwerk

Rostock, Neptun Industrie und

Reparatur in Rostock, and part

German Shipbuilding

Production 1990 1991 1992 1993

Ships 118 106 95 93

Tonnage 1,000 gt 881 928 881 944 1,000 cgt 1,121 1,056 908 966 cgt/gt 1.272 1.138 1.031 1.023

Value in mil. DM 4,592 4,270 4,178 4,863

New contracts 121 104 77 76

Tonnage 1,000 gt 841 613 887 1,151 1,000 cgt 988 887 830 1,136 cgt/gt " 1.174 1.446 0.936 0.987

Value in mil. DM 4,076 4,244 3,725 5,056

Orderbook 221 200 175 152

Tonnage 1,000 gt 2,314 1,758 1,722 1,908 1,000 cgt 2,490 1,990 1,866 2,007 cgt/gt 1.076 1.132 1.084 1.052

Value in mil. DM 10,549 9,476 9,037 9,177

Employees 62,681 61,929 49,834 44,271

Finnjet under conversion at HDW in Kiel.

HDW's Shipyard 2000 Plan

In Full Swing

Another yard touted for its ad- vanced approaches to design and construction, HDW of Kiel has vig- orously implemented changes in its yard to make it more competitive and cost-effective.

Its "Shipyard 2000" plan is pro- jected to raise productivity 40 to 50 percent. HDW has invested in the modernization of its production shop which, among other things, includes: two welding robots; environmentally friendly sandblasting and painting shop; as well as new welding and cutting machines.

Among the ongoing work is the

Norasia open top containership or- der. Norasia Fribourg, the first ship of this series, was delivered earlier this year.

For more information on HDW

Circle 60 on Reader Service Card owner of Volkswerft in Stralsund.

New production facilities are under construction at nearly all places and

Bremer Vulkan management is busy keeping everything under control.

In Wismar, plans for a new yard were a bit too big. Final plans call for a smaller, more practical plant on the existing premises.

Bremer Vulkan invested in a 3,800-ton carrying transport lift for its old yard in Bremen-Vegesack.

This lift is able to completely shift pre-outfitted heavy blocs from cov- ered building to the drydock, and from normal level down to the blocs of the dock. The lift is overcoming the work of the big gantry crane.

One of the most qualified yards with the best orderbook of all of them is Meyer Shipyard in

Papenburg. Meyer Werft has built a very effective yard over the years, with capital improvements made from its own earnings. Meyer Werft has specialized in passenger carry- ing vessels and gas carriers. Today the yard has four cruising vessels of nearly 70,000-gt each on order. Al- though Meyer Werft's plant is highly sophisticated, it has the disadvan- tage of being positioned approxi- mately 25 miles (40 km) away from open waters and the river Ems is less than 19.7 ft (6 m) deep for the time being. Nearly 24 ft. (7.3 m) is the depth needed for the future, and to deliver the four vessels, of which the first is due for delivery in spring 1995. Recently the decision was made to start deepening the water- way.

DELIVERIES 1993

According to VSM statistics, the shipbuilding results for 1993 are: • 93 vessels of 966,000 cgt were delivered • 58 units with 655,000 cgt came from West German yards • 35 units with 311,000 cgt from

East German yards • 76 vessels with 1,136,000 cgt were on order at the beginning of the year; only 50 percent of the volume of the year before.

Consequently, roughly 67 percent ofGermanshipbuildingis positioned in the West and 33 percent in the

East. And although the order situa- tion has changed slightly, it is still not considered satisfactory.

In 1993 German shipyards pro- duced mainly container vessels (51.8 percent), passenger- carrying ships, ferries and RoRo tonnage (26.1 per- cent), cargo vessels (9.4 percent), special tankers (5.9 percent), off- shore supply craft (3.5 percent), fish- ery vessels (1.7 percent), tugs (1.5 percent) and other floating units. It can be said that German yards have

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