In an effort to stimulate EU manufacturing the European Commission will set new policy measures that will prioritise manufacturing in the bloc, including shipbuilding and maritime supplies.
The EC is set to announce its plans on 10 February that will promote European shipbuilding and EU manufactured equipment “based on non-price factors” including sustainability and it’s a whether a vessel or equipment was made in the EU.
Such a move could see an increase in smaller vessel buildings such as ferries, tugs and research vessels which would also stimulate European equipment manufacturers.
“In the private sector, demand for EU-manufactured vessels could be encouraged by providing ship owners with easier access to financing, in which the European Investment Bank could play a role,” reported Reuters.
An EU Blue Economy Report on Shipping published last year noted that in the maritime sector some 316,000 staff were employed and the industry generated a gross value of €19.9 billion in 2022, up 7% on 2021; while gross profits were €5.2 billion, up 14% on the previous year and turnover was €70.7 billion, a 5%-increase on 2021.
According to the EU report: “The European shipbuilding industry experienced a surge in 2023, with a total of 101 new orders being placed at European shipyards.”
A surge in demand for dry cargo vessels, of 71 orders, was a 9% increase on 2022, accounted for most of the new orders, while 11 cruise ship orders were also recorded.
Geopolitical instability caused by Russia’s invasion of Ukraine, has created uncertainties for industry, altering regional shipping routes leading to a postponement of long-term investment decisions.
“The geopolitical instability has led the European Commission to publish the joint white paper ‘European defence – Readiness 2030’, which is likely to have a positive impact on the shipbuilding industry. Finally, the roadmap to a greener industry affects shipbuilding and the retrofitting of ships, but also the disposal of ships at end of their life,” added the report.
