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The crisis in the European shipbuilding industry: EMF activities and EU policy developments

The crisis in the European shipbuilding industry: EMF activities and EU policy developments. EMF Shipbuilding Committee meeting Vigo, Spain, 20 th May 2010. EMF activities to deal with the crisis. Intensifying market and employment monitoring (IAW, AGS)

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The crisis in the European shipbuilding industry: EMF activities and EU policy developments

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  1. The crisis in the European shipbuilding industry: EMF activities and EU policy developments EMF Shipbuilding Committee meetingVigo, Spain, 20th May 2010

  2. EMF activities to deal with the crisis • Intensifying market and employment monitoring (IAW, AGS) • Developing EMF response (Berlin declaration, 25 June 2009) • Exploiting all levels of influence: • Action Day 11 September 2009 • Social Dialogue with CESA • Dialogue with EU institutions and EU presidency • Participation in LeaderSHIP activities (HLG, sherpa meetings, LS Conference) • Cooperation with IMF, discussing a global trade union position, common approach vis-à-vis OECD • Active involvement of EMF shipbuilding committee members !

  3. EMF crisis response (“Berlin declaration”, June 2009) • Demand for a common European strategy comprising9 essential elements: • No redundancies in 2009 and 2010! • Press for environmental protection – Develop new markets! • Safeguarding European know-how in ship financing! • Intensify research and development for the future! • Create fair conditions for competition! • Responsible behaviour of ship owners • Responsible behaviour of employers! • Strengthen Social Dialogue! • Implementation and new orientation for LeaderShip 2015!

  4. EMF crisis response Crisisresponse links with EMF shipbuildingpolicy (« The seais the future », 2005) No reliance on subsidies. Push for levelplayingfield, boostingdemand, innovation. • OECD • WTO Faircompetition • Europeanscrapping programme • Shift towards maritime transport • Short-sea shipping • Environmental standards • Innovation support • Europeanresearch collaboration • Skills &Training initiatives • Social Dialogue Stimulatedemand Promote innovation Maritime Economy

  5. Calendar of Main Events (since last shipbuilding committee meeting) • LeaderSHIP High Level Group meeting and EMF action day, 11 September 2009, Bremerhaven, Germany • EESC hearing on the shipbuilding crisis 1 December 2009, Vigo, Spain • LeaderSHIPsherpa meeting, 11 December 2009 • Handover of Declaration of European Shipbuilding Regions to Commission and Parliament, 8th April 2010, Brussels • LeaderSHIP conference, 21 April 2010, Bilbao • European Maritime Day and Maritime Industries Forum, 19/20 May, Gijon, Spain • EMF shipbuilding committee, 20/21 May 2010, Vigo, Spain • EMF Conference on military shipbuilding, 31 May 2010, Economic & Social Committee, Brussels • Conference on the future of shipbuilding in Europe, European Parliament, 24th June 2010

  6. LeaderSHIP 2015 = industrial policy roadmap since 2003 LeaderSHIP High Level Group meeting on 11.09.09 to discuss a European crisis response Participation of major stakeholders: industry (CESA), suppliers (EMEC), unions (EMF), Commission (ENTR, COMP, TREN, RTD), Member States LeaderSHIP priorities: Defend a global level playing field Active demand stimulation Research and innovation Access to pre- and post delivery financing Appeal to maintain jobs and skills, avoid lay-offs Update on LeaderSHIP

  7. Level playing field Re-launching of negotiation process for an OECD agreement (WP6, 13 April 2010) Real chance for success after 20 years of fruitless negotiations? EU-Korea Free Trade Agreement: A new era of bilateral relations is put to the test EU industry pushes Commission to insist on implementation of the existing bilateral shipbuilding agreement with Korea (“Agreed Minutes”)  prices to reflect costs in line with WTO antidumping rules EU industry has requested opening of consultation on a case of injurious pricing by a Korean shipyard Update on LeaderSHIP State of Play

  8. Demand Stimulation EU Commission believes that the responsibility for short-term demand stimulation initiatives lies with Member States! No EU funded schemes proposed (e.g. European scrapping scheme) COM has invited MS to propose measures and offered coordination role Member States are not planning measures Update on LeaderSHIP State of Play

  9. Research and innovation CleanSHIP initiative: innovation collaboration based on PPP proposed by LeaderSHIP Industry plans no new initiative Research and innovation activities to be continued within Waterborne Technology Platform Green growth opportunities EU Commission plans a study on long-term green growth opportunities for shipbuilding in the context of the EU 2020 strategy tender to be launched before summer break 2010 Innovation aid EU Commission (DG Competition) to review implementation of “Framework on support measures for shipbuilding” of 2004 Public consultation planned on renewing this framework that expires in 2011 Update on LeaderSHIP State of Play

  10. Access to financing Temporary Framework for State Aid (EU’s crisis-related financing instrument) Used in some cases, providing state guarantees to yards in difficulties to access external finance Possibility expires end 2010 European pre-delivery guarantee scheme EU Commission has commissioned a feasability study for establishing guarantee scheme in cooperation with EIB Dialogue with EIB difficult; EIB does not report to Commission Only Member States could influence EIB Update on LeaderSHIP State of Play

  11. European Economic and Social Committee Opinion on “The European shipbuilding industry dealing with the current crisis” (29 April 2010) EMF involved in drafting of text; all elements of “Berlin Declaration” included; strong emphasis on employment and skills! Demands for a European coordinated strategy: Stimulating demand Financing (incl. prolongation of innovation aid) Employment measures (incl. support in case of yard closures) Level playing field EESC hearing on 1 December 2009, Vigo Participation of delegation of Spanish trade union colleagues EMF represented by José Luis Gacio (MCA-UGT) Other Shipbuilding Events and Initiatives

  12. Declaration of European Shipbuilding Regions 33 Regional Governments (representing 60 million European citizen) signed a joint declaration Future for shipbuilding industry declared as top priority for economic development in maritime regions Declaration handed to: President of European Parliament European Council and European Commission representatives President of the Committee of the Regions EMF represented by Ruud van den Bergh (FNV Bondgenoten) Other Shipbuilding Events and Initiatives

  13. LeaderSHIP Conference, 21 April 2010, Bilbao Calls on EU Competitiveness Council to address situation of situation at next meeting on 25/26 May 2010 Calls on Member States to put in place effective instruments (financing, demand stimulation) Underlines need for a coordinated strategy within EU Affirms LeaderSHIP as an effective platform for industrial policy Participation of an EMF delegation (Spanish colleagues) Address by EMF General Secretary Other Shipbuilding Events and Initiatives

  14. European Maritime Day and Maritime Industries Forum, 19/20 May, Gijon, Spain EMF shipbuilding committee, 20/21 May, Vigo EMF conference on the future of maritime shipbuilding in Europe, 31 May, Brussels Conference on the future of European Shipbuilding in the European Parliament, 24 June Industry, Trade Unions, MEPs, Commission President EMF shipbuilding committee Large EMF delegation encouraged Current and future events

  15. Thank you for your attention! For more information please contact: Andrea Husen-Bradley ahusen@emf-fem.org

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