Outflagging of ships could provoke the EU Commission

The German shipping companies have promised the EU Commission to increase the number of ships sailing under EU flags in order to avoid problems when passing the German tonnage tax. But the shipowners continue to flag out. The Danish Shipowners' Association says that the EU is keeping a close eye on the outflagging.

German shipowners are incrasingly flagging out of the country's national ship register. The latest numbers from the German maritime authority, BSH, show that the fleet continues to decrease.

Lloyd's List writes that the German shipowners are under pressure from the EU Commission, and have promised to bring more ships under EU flag in 2012 to avoid any negative consequences for the German tonnage tax due to the outflagging. These months, the EU Commission is assessing the maritime state subsidies of the various member states, for Denmark this would be the Danish International Ship Register (DIS) and the tonnage tax, and, as mentioned earlier on ShippingWatch, a decision is expected this Fall.

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