Contributions from Nctm Offices Around the World – Shipping & Transport Bulletin October-November 2017
Dumping from China
All the EU institutions agree that China is not a market economy but there is no agreement on how to measure the dumping of goods coming from China. Dumping is selling on the export market at less than the sales price in the country of origin. If China is not a market economy then how reliable can the price in the country of origin be for the purposes of measuring the amount of the dumping?
The Commission made a proposal on a new methodology for measuring prices in China. The Council and the Parliament issued opinions on that proposal. Now is the time for all three institutions to sit down together and agree on a compromise text. This is proving very difficult.
It all comes down to who should bear the burden of proving that a particular price is or is not distorted and thus should not be used for measuring dumping. As we go to press the negotiations continue.
Changing and transforming mobility: driving in future Europe
The EU’s Connecting Europe Facility programme, among other things, is aimed at creating synergies between new technologies in such fields as connectivity, cooperative systems, and automation. The idea is to extend the existing Cooperative Intelligent Transport Systems (C-ITS) and building a new one to connect and automate driving.
The new concept of “connected and automated driving” will be a major “instrument” to reduce accidents, air pollution, combating climate change and reduce dependency on imported energy and in this way contributing to economic prosperity and political stability.
The new vision of “EU’s future transportation” is part of the Commission’s broader approach to changes in transforming mobility. At the end of May 2017, the Commission addressed more comprehensively the concept “Europe on the Move”.
This programme is aimed at reducing transport’s carbon footprint by 60% by 2050. The Commission plans show a 40% cut in CO2 emissions from bunker fuel and a 50% shift of freight journeys greater or equal to 300 km from road and rail to waterborne transport. The funding for the programme is €26 billion under the current budget (up to 2020).
State aid: Commission approves German rescue aid to Air Berlin
The European Commission has approved, under EU state aid rules, Germany’s plans to grant Air Berlin a temporary €150 million bridging loan. The measure will allow for the orderly winding-down of the insolvent airline without unduly distorting competition in the Single Market.
On 15 August, Germany notified the Commission of its intention to grant a bridging loan to Air Berlin. This followed on from the withdrawal by Etihad, Air Berlin’s main shareholder, of its financial backing for the loss-making company. The German public credit institution KfW will provide a credit facility of up to €150 million to Air Berlin over the next months.
Maritime Transport: safety of passengers
The European Commission issued a press release in mid-June welcoming the agreement reached within the International Maritime Organisation (IMO) introducing more stringent requirements for the safety of passenger ships. Upon their entry into force in 2020, all new passenger ships will have to be designed to remain afloat for longer if their hull gets damaged. As a result, it is estimated that the safety level will increase by up to 90% for the largest ships (carrying 1.350 passengers or more). This international agreement follows a proposal made in January 2016 by the European Commission and the EU Member States with the support of the European Maritime Safety Agency (EMSA).
Commissioner for Transport Violeta Bulc said, “With more than 200 million passengers embarking in EU ports each year, passenger safety is at the heart of the Commission’s transport policy. It is a matter of great satisfaction to see that the EU has also successfully contributed to ambitious global standards that will guarantee the safety of passengers across the globe“.