Crests & troughs of the wave of EU shipping policy

  • Shipping has always been an international affair contributing to globalisation. As such, shipping has at all times required international cooperation in the areas such as the harmonisation of maritime law. The harmonisation process has been taking place in three areas broadly characterised as: a) private law (CMI), b) public law (IMO) and c) unification of the shipping business environment (flags of convenience regimes).

    In the competition race the European Union (EU) has decided to attract good quality EU shipping to the flags of Member States by “reducing fiscal and other costs and burdens borne by Community shipowners and Community seafarers towards levels in line with world norms (Community guidelines on State aid to maritime transport), by means of mimicking regimes of flags of convenience.

    What are the chances of building efficient and competitive EU shipping? Is the European crew competitive in comparison with the non-Europeans who have much lower living expenses in their homelands? Should EU and non-EU crewmembers on the same ship have the same salaries for the same jobs, regardless of their respective living expenses? What are the tools of unifying the law on status of shipping companies and their respective operations in EU Member States? Is there too much unnecessary red tape? Who is going to build ships for the European shipowners? What are the risks related to the operation of ships? Should the EU harness the harmonisation of international maritime law or diminish international efforts and achievements by introducing its own unilateral laws negating the effects of established international conventions regimes? Would that change the proportions and the allocation of risks involved?

    The EU stresses the vital importance of maritime transport services for the economy of the Community. More than 90 % of all trade between the EU and the rest of the world is transported by sea. However, it is questionable if the measures introduced by current maritime policy are sufficient to support a thriving EU shipping industry.