Press Release: Commission’s shipbuilding report shows South Korea has consolidated its lead

Korean shipyards are still distorting the international market by pricing ships below cost, according the European Commission's fourth report on the situation in world shipbuilding, adopted on 2.5.01. Based on detailed costings of orders placed with South Korean yards, the report found that, despite record worldwide demand for new ships in 2000, serious difficulties continue to affect the EU shipbuilding sector as a result of unfair trading practices by South Korean competitors. The report noted that the year 2000 saw a significant expansion in orders for new ships, with 56 % more orders being placed than in 1999. Most of this increase, triggered by an expanding world economy, higher oil prices and historically low ship prices in certain market segments, has benefitted South Korean yards, which again increased their market share.