shipbuilding
The future of MV Werften remains uncertain
Work in the dock hall of the MV shipyard in Wismar in March 2021. Photo: Jens Büttner / dpa-Zentralbild / dpa
© dpa-infocom GmbH
The employees of the MV Werften have to worry about the continuation of shipbuilding and thus about their professional future. In addition to the state, the federal government is also ready to provide further assistance. But the owners from Hong Kong should also make a contribution.
The future of the financially troubled MV Werften remains in the balance. Contrary to what was planned, the finance committee of the state parliament was unable to give the green light for further loan aid from the state in the amount of more than 77 million euros on Thursday in Schwerin.
As Mecklenburg-Western Pomerania’s Economics Minister Reinhard Meyer (SPD) said in the evening after a committee meeting lasting several hours, the federal government’s final commitment to participate in the new rescue package for the shipyard association, which has belonged to the Asian parent company Genting Hong Kong since 2016, is still missing.
The state is doing everything that is legally possible and economically reasonable to ensure the continuation of MV Werften. “But we as the state of Mecklenburg-Western Pomerania cannot do that alone. The federal government and Genting have to be there, ”emphasized Meyer. Genting had applied to be able to access the aids originally planned for 2024 in the amount of 130 million euros. The reasons cited were a lack of income from cruise tourism and failed property sales in China.
The federal government has now declared its readiness to provide 300 million euros from the economic stabilization fund in addition to the 300 million already granted, said Meyer. The money is needed to complete the giant cruise ship “Global Dream 1”, which is being built for Genting in Wismar. Before the funds could flow in, the federal government expects Genting to provide more than 60 million euros and security for the continued existence of the shipyards. The 60 million euros are required to finance the construction of the ship until the negotiations are concluded in February.
Finance Minister Heiko Geue (SPD) emphasized that the state government and state parliament are ready to continue to support the shipyards. “Unfortunately, the situation for the shipyards and also for the workforce remains that we cannot put an end to the uncertainty before Christmas,” admitted Geue.
Genting acquired the shipyards in Rostock, Wismar and Stralsund in 2016 in response to the then booming cruise market in order to have ships built there for the Group’s own shipping companies. But with the collapse of the industry as a result of the Corona crisis, the Asian parent company ran into difficulties that continue to this day.
Again and again the federal and state governments had to bridge financial bottlenecks, for example with the completion of the expedition cruise ship “Crystal Endeavor” built in Stralsund, which was handed over at the end of June. Some of the loans have already been repaid. According to Meyer, the state has guaranteed loans worth a good 300 million euros.
The federal government assumes that MV Werften will still need up to one billion euros in financing, as the German press agency learned on Thursday from government circles. In addition to the previous commitments from state and private donors, there is still a very significant funding gap. At the moment it is impossible to predict whether the main owner of the Genting Group is willing to invest additional money in the further construction of the cruise ship and to provide the state fund WSF with sufficient securities.
According to Meyer, almost 2,000 jobs are at risk in the shipyards. In addition, there are 600 employees who have already been outsourced to a transfer company, and 3,000 workers in supplier companies.