Outlook for European shipbuilding

As globalization in the shipbuilding industry increases, a countries' competitiveness in that field can come under threat from countries with cheaper manufacturing and labour costs. Shipbuilding environment is formed by these factors: is the political climate in the country supportive for shipbuilding industry; does economic environment is favorable to operate the shipbuilding business; what technological level and cost price are attractive to get orders for new ships. Recently, 80 per cent of the world shipbuilding activity has shifted to Asia, mainly Japan, Korea and China. To maintain a competitiveness of shipbuilding industry, European yards need to keep high value added niche.