Difficult times ahead for Norwegian shipbuilders

The Norwegian shipbuilding industry seems to be facing a difficult future with few new orders on the books and the looming threat of mass lay-offs.

Representatives for the industry will meet to discuss the situation which, according to Norsk Indutri chief Egil Holland, is worse than it has been for a long time. In the peak year of 2006, the industry had contracts for 85 newbuildings while this year they have entered into contracts for only 6-7 new vessels.

The new Industry Minister, Trond Giske, has ordered the Guarantee Institute and other financing institutions to present, within three weeks, concrete plans on how the crisis in the shipbuilding industry may be mitigated. Giske is due to meet with representatives of the industry to discuss the crisis.