Eficiencia asignativa y eficiencia productiva

The shipbuilding industry is a heavy industry requiring substantial amounts of capital investment and the skilled labour force as well as the high level technological capability to design and construct ships. From the commercial point of view,‘ the shipbuilding

industry is an international activity which is heavily influenced and directed by world growth and trade. In other words, if there is something, a comparatively huge amount to carry from one place to another by sea, there is a need for ships. Hence, this need is met by the

shipbuilding industry.

To some extent, the balance between supply and demand for ships in world trade determines the output of the shipbuilding industry under market conditions. Beyond market conditions^i it is reality that there are governmental influences and intervention. For hundreds of years, the shipbuilding has been a major industrial activity which offered, inter alia, employment potential, support to national fleets, prosperity to nations, foreign currency when its products were exported, a way for technology and know how transfer and dynamism to its dependent industries as a driving force within an economy. Perhaps its most important ability was to take place widely within development strategies in order to reach a certain level of industrialization. Many countries have relied on shipbuilding as a main industry to structure their economies. A century ago', shipbuilding was dominated by the United Kingdom as a leading force. In 1947, Japan

had entered into the shipbuilding market as part of the Japanese Government's development program*- Consequently, Japan emerged in the 1960s by taking over leadership in the world shipbuilding industry. The Republic of Korea as a challenging power in the shipbuilding industry way through industrialization was witnessed in 1970. In Europe, there were countries which have always had technologically advanced shipbuilding activities such as France and Germany throughout the times of their industrialization. Currently, many countries consider the shipbuilding industry as a part of national development plans to supply contribution to building up their economies such as China (PDR), Taiwan and Singapore.

The shipbuilding industry with its international character is one of severe competition arena in which the playing actors are mostly developed countries and newly industrialized countries. Especially, during the 1970s and the early 1980s, the merchant shipbuilding industry has become an economical and political battlefield*®. This is because of its nature which is unique to shift easily from one country to the other which has already achieved some

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certain level on the way to becoming industrialized. In this international competition, countries are mostly in favour of keeping the shipbuilding industry to survive. There are numerous reasons for the governments to support their o-wn shipbuilding activities.

Certainly, one of the most important functions of

^ Stopford, R.M "A New life for the Shipbuilding in the 1990s?", The 4th International Shipbuilding and Ocean Engineering Conference, p.49, Helsinki, 7-lOth Sept.1986

Stopford, R.M. "A New Life for Shipbuilding in the 1990s?", The 4th International ShipbuiIding&Ocean

Engineering Conference, p.46, Helsinki, 7-lOth Sept.1986

the shipbuilding industry is the fundamental support to national fleets by supplying new buildings. As is considered by many countries, it is a place to employ the labour force intensively. As far as being a contribution to the economy, it is an opportunity to provide work for nationals. Even today, there are towns located around shipyards which provide jobs to residents. Of course from the economic stand point, there are other reasons such as strategical importance, and prosperity for society which are not specifically emphasized in this paper.

The current subject matter which are hardly negotiated at international forums and planeries, is government subsidies and measures of assistance in shipbuilding worldwide. Globally, Western Europe substantially reduced the amount of subsidies which were given directly to the shipyards for newbuiIdings. Consequently, the output of western countries in the shipbuilding industry disastrously declined. They have been obliged to reduce their shipbuilding capacity by free market conditions which are being implemented by these countries. Only restructuring . aids are considerably available in member countries to the European Community.

In this manner, the European Community has put the legislation in force to bring the ceiling for government subsidies. For the time being, this ceiling is not beyond 28% of the price of newbuiIdings^. Japan and the Republic of Korea are under the pressure of OECD member countries to reduce shipbuilding capacity and tl^eir subsidy programs. The situation for this matter in Eastern Bloc countries is not fair and open for the time being. The developing countries which have shipbuilding facilities

^ Sutherland, Peter D. "The Sixth Shipbuilding Directive-A Review of the First Year of Operation, p.ll, London, 14 Mar.1988

are mostly considering supplying ships for domestic demand by domestic shipyards, but not the international market, because, as it is known, they have the shortage of technology, capital and skilled man power to build ships which technologically comply with international maritime rules and regulations.