ICS slams shipyard subsidies

ICS slams shipyard subsidies

A leading shipowning organisation has hit out at government subsidies supporting ailing shipyards.

Addressing government trade negotiators in the OECD working party on shipbuilding at a workshop on green growth in Paris on Monday, the International Chamber of Shipping (ICS) asserted that the shipping industry could only be environmentally sustainable if it is economically sustainable too.

“The perennial challenge facing shipowners is overcapacity, aided and abetted by government subsidies and support measures that encourage shipyards to produce ships that are surplus to requirements,” said ICS director of policy Simon Bennett. “If governments are serious about helping the shipping industry deliver on the United Nations Sustainable Development Goals, the OECD needs to reboot efforts to have a global agreement on the elimination of market distorting measures from shipbuilding. Despite being in existence for over 50 years it’s disappointing that the working party on shipbuilding has still made little progress, with the last round of negotiations on a new OECD agreement having been suspended several years ago.”

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.

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