Industry and globalisation

General agreements related to Shipbuilding

 

The following agreements have become "Resolutions" of the OECD:
  • Defines a series of government support practices which distort competition in the shipbuilding market and seeks their elimination. It will be superseded by the Agreement Respecting Normal Competitive Conditions in the Commercial Shipbuilding and Repair Industry.
  • Developed in view of the existence and permanent threat of overcapacity in world shipbuilding and calls for close co-operation to eliminate excess capacity and to restructure shipbuilding industries.

In addition to these, the Sector Understanding on Export Credits for Ships, which is attached as Annex I to the Arrangement on Guidelines for Officially Supported Export Credits, sets common rules for government-supported export credits for ships, in particular concerning interest rates and the duration of credits. The Sector Understanding is a "Gentlemen's Agreement" among the Participants.

* * * * * *
The Agreement Respecting Normal Competitive Conditions in the Commercial Shipbuilding and Repair Industry constitutes a new international approach to securing fair competition in the world shipbuilding industry. In contrast to the three resolutions described above, it is legally binding upon its participants. It is a free-standing international treaty and is open, by accession, to non-OECD countries with significant shipbuilding capacity.

 

 

 

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