Germany approves Meyer Werft bailout

The federal government of Germany and the state of Lower Saxony are stepping in to acquire an 80% stake in Meyer Werft, one of the country’s most renowned shipbuilders. This move comes as the company faces significant financial challenges, with a nearly €2.8 billion ($3 billion) gap in its balance sheet. The decision was approved by the German federal budget committee, aiming to secure the future of the shipbuilder’s operations in northern Germany.

The Hong Kong Convention, EU regulation and outstanding legal issues in various states

The acquisition will place the company’s shipyards in Papenburg and Rostock-Warnemünde under government control. Both facilities are vital to the shipbuilder’s ongoing projects, and the intervention is seen as a necessary step to stabilize the business during a time of financial strain. Meyer Werft has been a key player in the German shipbuilding industry for centuries, making the rescue a critical action for maintaining the nation’s industrial legacy.

Despite the government takeover of the German shipyards, the Meyer family will retain control of their shipyard in Turku, Finland, ensuring that some family-owned operations remain. With roots tracing back to 1795, Meyer Werft’s long-standing history as a shipbuilder continues, albeit with significant changes in its ownership structure.