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“Importance of the maritime industry recognized”

Germany’s conservatives (CDU/CSU) and Social Democrats (SPD) have reached a coalition deal, which now awaits formal approval. The German Shipowners’ Association (VDR) sees potential for the shipping industry.

The maritime industry is explicitly mentioned, for example the safeguarding of the tonnage tax is to be guaranteed. The agreement also offers further points of contact for the industry.

Above all, the coalition agreement emphasizes the international competitiveness of companies based in Germany; the maritime industry is described as “strategically important”. According to the VDR, this statement also supports the position of German shipping companies. The announced increased financial support for port infrastructure is also viewed positively.

Coalition agreement secures tonnage tax

According to the agreement, the German government will support the tonnage profit tax and advocate uniform framework conditions at EU level. According to the association, this will secure the tax on shipping income in the long term. This will ensure predictability and competitiveness.

The decarbonization of shipping is also mentioned with concrete measures. A maritime research program is to be “further developed for the future” – including in the form of CO2 reduction in propulsion technology, the development of underwater robotics and greater autonomy in ship management. “This is also a positive signal for shipping companies,” says the VDR. “It opens up opportunities for state-supported research projects and funding for lower-emission and emission-free propulsion systems.”

Maritime safety and reducing bureaucracy

Maritime safety is explicitly emphasized in the coalition agreement. According to the VDR, the explicit mention of the protection of sea routes and maritime infrastructure shows that it is “understood as an integral part of the national security architecture”.

The shipping industry will also benefit from the reduction in bureaucracy – this means that shipping companies will be relieved of legal uncertainty, control obligations and liability risks, while at the same time being able to focus on uniform EU regulations.

Finally, the recruitment and promotion of young talent and skilled workers is also mentioned. In the shipping industry, this offensive could be reflected in the recruitment of nautical and technical personnel from third countries, according to the VDR – the prerequisite for this, however, would be a targeted connection of the industry to relevant programs.

The establishment of a separate Federal Ministry of Transport, from which the responsibilities for infrastructure and digitalization are separated, would also be an upgrade for all modes of transport, including shipping. This would strengthen the strategic management of transport policy issues.

“Coalition partners are aware of the importance of the maritime industry”

Martin Kröger, Managing Director of VDR, is positive about the coalition agreement. “Even if maritime shipping is only explicitly mentioned in a few places, the agreement creates a reliable framework for competitiveness, transformation and growth in a globally challenging environment,” he said. “The coalition partners are showing that they are aware of the importance of the maritime industry.”

At the same time, the VDR is currently in talks about the continuation of the position of Maritime Coordinator. “The coalition parties have announced that they intend to significantly reduce the number of commissioners overall,” says Kröger. “From VDR’s point of view, however, the continuation of this office at state secretary level is important in order to continue to represent the interests of the maritime industry in the federal government in a targeted manner and to ensure interdepartmental dialog.”

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Copyright: © VDR

Caption: Martin Kröger, Managing Director of the German Shipowners' Association (© VDR)