Shipbuilding in Russia gets less state support compared to shipbuilding in other countries - USC
China numbers over 15 support measures, hence the country’s share in global shipbuilding as high as 49%
To ensure development of shipbuilding in Russia it is necessary to finance the construction of type projects under state leasing programmes and use ship equipment of only domestic origin, Maksim Peshin, Director of the Department for Analytics and International Business, United Shipbuilding Corporation (USC), said at the scientific and industry forum “Transport. Development Horisons”.
Among the current measures supporting shipbuilding in the Russian Federation, the only one focused directly on shipyards is subsidizing of large ships construction. This measure is provide to Zvesda shipyard. Other measures are focused on ship owners. For example, subsidies for construction of fishing ships in the Far East District, subsidies to cover ship owners’ loans for purchase of civil ships, zero-level VAT for registration of ships in Russian Maritime Register of Shipping, grants for scrapping of ships, etc., said USC representative.
Meanwhile, the world’s major shipbuilding economies use various schemes of preferential loans, R&D support, internal market protection (similar to RF Government’s Decree No 719), said Maksim Peshin.
China (accounts for 49% of the global market in terms of newbuilding tonnage in 2021) used over 15 support measures including direct and indirect subsidies provided to shipbuilders, state guarantees, infrastructure privileges (modernization of shipyards), with no collection of internal revenues. The number of support measures in Norway exceeds 7. The country is focused on production of goods with high added value. In pursuance of it ‘green' policy it produces new engines with hybrid and electric propulsion, told the expert.
There are 6 support measures being applied in the USA. More than 30% of the products are exported. In S. Korea (38% of the global market in terms of newbuilding tonnage in 2021) — two measures including R&D support.
Among measures to support shipbuilding in Russia, USC proposes mandatory use of ship equipment produced in Russia for state and private customers obtaining leasing resources from GTLK; state financing of type design development by Russian design bureaus; mandatory use of type projects by state customers under ‘’keel quota” programme; state financing of modernization at shipbuilding facilities which foresee cooperation for production of equipment; securing exclusive right of ships built in Russia to operate on the Northern Sea Route “from certain time”.
More issues will be discussed at Ship Repair, Modernization and Components Conference which is to be held on the zero day of the Global Fishery Forum and Seafood Expo Russia (SEAFOOD EXPO RUSSIA) on 20 September 2022 in Saint-Petersburg. The event is organized by PortNews Media Group with the support of United Shipbuilding Corporation (USC). More about the event >>>>
