Page 58: of Maritime Reporter Magazine (June 2022)

The Final Word

S.O.S. (Save our Shipbuilding)

Germany’s VSM Advises

Reducing Dependence on China s the geopolitical land- transformation initiated by governmen- to close down. The cruise ship segment, scape continues to quickly tal climate policy are creating a gigan- the dominating market for Europe’s transform with the Rus- tic need to invest in ships and maritime shipbuilders with orders amounted to sia/Ukraine war, Europe’s assets. Nevertheless, the industry ? nds approx. 80 billion euros between 2016 to

A over-dependence on Russian energy has itself confronted with low demand and 2019 nearly completely dried up. While become painfully apparent. VSM – the uncertain future prospects. ship production stabilized in 2021 after

German Shipbuilding and Ocean In- The pandemic-induced crisis of the an extremely weak previous year, the dustries Association that represents the cruise industry has made the dramatic low order volume spells signi? cant risks political and commercial interests of the development of the German and Euro- of underutilization of shipyards ahead.

German maritime over a diversity of pean shipbuilding industry abundantly The ongoing loss of substantial ship- maritime market segments – issued the clear. Focusing on high-end markets building capacity is particularly wor- following statement and overview of the such as cruise ships, yachts, naval ves- risome in view of strongly growing global shipbuilding market, highlight- sels and other government vessels have requirements in Europe. In order to ing how highly subsidized shipbuild- been a successful approach to escape safeguard against the loss of strategic ing markets in China and South Korea the distortions that have plagued the capabilities, existing framework condi- threaten the very existence of European shipbuilding market for decades. Eu- tions for the sector need to be corrected.

shipbuilding. ropean shipyards were left defenseless

The German and European maritime against the price dumping practices in The maritime industry is a industry is facing major challenges. conventional market segments, which “freedom industry”

Geostrategic developments and the have forced numerous production sites There is broad consensus in our soci- 58 Maritime Reporter & Engineering News • June 2022

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