The shipowners pessimistic about the future – 6 out of 10 expecting weaker performance

The shipowners looking darkly at the futureSturla Henriksen in the shipping company associated.Photo: Berit Roald / NTB scanpix

The oil crisis is affecting the shipping industry hard. The shipowners expect weaker results, even more laid-up ships and rigs  and major cuts in its workforce.

The grim outlook for 2016 is revealed in latest economic report of the NSA . The report will be submitted to Prime Minister Erna Solberg (H)  on Tuesday afternoon, with the message that the oil crisis has struck the maritime industry with full force: A total of 7,300 employees in the industry laid off or fired last year. This year the shipowners  expects further staff cuts of around 4,300 employees.
Only 23 percent of the shipowners expect stronger result this year. Around 60 percent expect  weaker operating results.
101 offshore vessels were laid up at the beginning of March. By July this is expected to increase by 10  more ships.
The number of rigs laid up is expected to increase from 16 to 23 by July.
Despite the weak performance in 2016, the Norwegian fleet will still be the world’s sixth largest. The maritime industry has around 110,000 employees and a value of 190 billion, according to the association.


Source: NTB scanpix / Norway Today