The Shipbuilding Industry in the East and West : Industry Dynamics, Science and Technology Policies and Emerging Patterns of Cooperation

Shipbuilding has changed from a "heavy industry" to become a capital- and technology-intensive activity over the last decades. While Japanese, South Korean and Western European yards dominate the merchant shipbuilding market so far, Eastern European yards are increasingly active, in particular in low and medium complex ships. We develop a market analysis and identify the axes of competition in international civil shipbuilding. From there, we analyze the restructuring process of Eastern European yards. Polish yards have proceeded with relatively quick enterprization, establishing strong links to domestic and international suppliers. Restructuring in Russian and Ukrainian yards is blocked by local obstacles to enterprization, leading to increasing competitiveness gaps with CEE-yards. We conclude that a science & technology policy should be demand-oriented and target only the clearly identified obstacles to enterprization