The German Meyer family owns the Turku shipyard, which is a major employer in Finland. The company, Meyer Werft, is facing financial difficulties and needs 2.7 billion euros in funding by 2027. Negotiations for funding are ongoing with the state of Lower Saxony and the federal government. The possible bankruptcy of Meyer Werft could have consequences for the Turku shipyard and its subcontractors.
The Turku shipyard, along with its subcontractors, employs approximately 10,000 people in Finland and is a significant source of export income for the country. The shipyard is closely monitored by the Finnish government due to its importance to the economy. The Meyer family acquired the shipyard in 2013 with government assistance after the previous owner, a Korean company, faced financial difficulties.
The shipbuilding industry has been challenging in recent years, with rising costs and disruptions caused by the pandemic. Finnvera, which manages export credit in Finland, has over 12 billion euros in guarantee risk related to ship orders. The Turku shipyard’s biggest customers are US-based cruise lines like Carnival Cruises and Royal Caribbean.
Despite the challenges, the Turku shipyard has work for the next two years and is expected to receive new orders. The shipyard recently completed a valuable and successful project, the Icon of the Seas cruise ship. The Finnish government and Finnvera are closely monitoring the situation, especially with regards to financing advance payments for ships under construction.
The German government is also involved in supporting Meyer Werft, the parent company of the Turku shipyard, through loan guarantees or direct loans. The shipbuilding industry’s future relies on the financial stability of companies like Meyer Werft and the successful completion of projects like the Icon of the Seas.