Competitiveness οf EU Shipping: The Need for an Effective Regulatory Environment

Global trade and supply chains primarily rely on a well-functioning shipping sector. In an era characterised by instability and unforeseen events, such as the recent COVID-19 pandemic and geopolitical conflicts, it is crucial to ensure a stable regulatory framework and a global level playing field for shipping.

At EU level, therefore, it is crucial to ensure that any EU measure and scheme is in line with global standards and the relevant global legislative framework by the International Maritime Organization (IMO), the International Labour Organization (ILO) etc. This will help to avoid unnecessary financial and administrative burden for EU shipping and allow it to remain internationally competitive.

Another pillar that ensures the smooth operation of maritime transport is free trade. The international rules-based trade regime under the World Trade Organization (WTO) and the conclusion of free trade agreements enable the flow of goods around the globe. The EU should continue to agree trade deals with third countries and regions, covering also maritime transport services and facilitating the global activities of the EU-controlled fleet.

The EU launched (February 2023) the Green Deal Industrial Plan (GDIP) in its effort to radically increase the production of new technologies and green products. Shipping, which looks forward to the implementation of the GDIP for the deployment of alternative dedicated and safe marine fuels as soon as possible, will be key to its success.

Overall, it is vital that the international competitiveness of EU shipping is ensured, as it is exposed to fierce global competition.

The Community Guidelines on State Aid to Maritime Transport (Maritime SAGs) have been instrumental in this and, therefore, they must remain in place as a minimum in order to guarantee the sector’s sustainability.

The recognition of the indispensable role of shipping by the EU institutions and the upgrade of its status in the EU policy agenda are also necessary for the success of the GDIP andmorebroadly,inordertosafeguardthe EU growth prospects, its energy autonomy and security. EU shipping policy and regulation requires enhanced coordination between the relevant EU services and closer consultation with the industry.

Shipping should be acknowledged as strategically indispensable and of key importance for the EU’s economy and energy autonomy.