Maritime industry cries out for more support

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editors
10 April 2020
2 min

Many sectors are currently struggling due to the corona crisis. In the maritime sector too, all alarm bells are ringing. Sector organisation NMT (Netherlands Maritime Technology) last week made an urgent appeal to the Dutch government for more support measures.

In a video message, Sander ter Heijer, sector manager at NMT, explains that many companies in the maritime manufacturing industry are struggling. "We hear from our members that there are acute problems. There are delays with ongoing projects, orders not being signed or postponed and there are also liquidity problems." According to Ter Heijer, the measures already taken are certainly a step in the right direction, but not enough.

The NMT expects the effects of the corona crisis to trickle down for at least another two years. It has drawn up a list of five measures the government should take to solve the most acute problems. These are as follows:

  1. More favourable terms for working capital financing, helping shipyards and suppliers with production cost financing risks.
  2. Accelerate the fleet renewal programmes of the Department of Public Works and Defence. This way, the government will get earlier disposal of the already planned ships and it will not cost support money.
  3. Extending the transition period for the installation of so-called CCR2 engines in inland vessels due to delays in the delivery of inland hulls.
  4. Supporting a courier scheme for soon-to-be-enacted laws and regulations for new marine vessels, as submitted by NMT to the International Maritime Organisation (IMO).
  5. Support repatriation of workers and active cooperation for bringing back foreign professionals when production restarts.

The maritime manufacturing industry generated a turnover of €7.3bn in 2018. The sector employs around 29,000 people. In an interview with the Financieel Dagblad, NMT director Roel de Graaf states that he is concerned about the strategic position of the Dutch maritime industry in the world. One of the Netherlands' largest shipbuilders, IHC, may be taken over by Chinese parties if things continue like this. In the FD article, De Graaf says: "In Asia, they handle state aid rules very differently. The European maritime industry is already under heavy pressure. The uneven playing field is hitting us harder and harder."

Source: NMT.nl/FD.nl