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Japan's oceangoing shipping industry now faces an unprecedented management crisis due to the delay in taking measures for changes in business conditions and the widening gaps in seamen's cost with the shipping companies of developing countries. Particularly, two major problems that require an urgent solution concerning the matters related to the transpacific liner route which suffers large deficit every year (Fig. 17) and the rapid increase of flagging out (transferense of Japanese-flag vessls to foreign registry) (Fig. 18). Two working groups were up in the Council for Rationalization of Shipping and Shipbuilding Industries to study these problems. As for the transpacific liner route problem, a report was compiled in June, 1988 on the improvement of management of Japanese shipping companies and the stabilization of route order to ensure a stable transport system. As for the "flagging out" problem, a report was compiled in December, 1988, which recommended that, in order to recover Japanese ships' competitive power and prevent flagging out, a mixed maning system should be introduced to Japan vessles which are chartered-out to foreign companies. Facing severe business conditions, the shipping industry is carrying out the rationalization of ships and personnel, while endeavoring to strengthen its management foundation, such as the diversification of operation, with a view to stabilizing management and creating new jobs for seamen. The government will encourage the shipping industry to succeed in such endeavors by improving the business environment. (Table 8)
Business conditions for oceangoing shipping deteriorated as a result of the sharp appreciation of the yen and other factors. As seamen's employment became tight, the creation of new jobs for them became an important task. The government has taken various employment measures, such as encouraging them to work for foreign ships or seek a job on land providing them with advanced vocational training. As for the modernization of the seamen system, the third stage (14 crew members) was instituted in 1988. Since October, 1987, a Pioneer Ship Test has been under way with a view to realizing a system of 11 crew members.
To cope with changes in the demand structure and the business environment,
Japan's shipbuilding industry in fiscal 1987 carried out the disposal of surplus
facilities (from 6,030, 000 CGT to 4,600,000 CGT of facilities capacity), the
integration of facilities and other measures under the Temporary Measures Law
Concerning Operation Stabilization of Designated Shipbuilding Enterprises.
(Fig. 19)
Since the world's shipping industry still faces severe conditions, Japanese
shipbuilders are endeavoring to heighten the effect of structure adjustments
made in fiscal 1987 through such measures as the promotion of business tieups
and international cooperation for improving shipbuilding prices. In parallel
with these measures, Japanese shipbuilders are planning to build "Techno-Super
Liner" (new super high-speed Ship) with a view to activating the industry and
developing new technology for the next generation, as well as constructing floating
structures using shipbuilding techniques with a view to entering the field of
new marine enterprise.
We have relaxed restrictions on structures at ports and harbors, while revising various technical standards, so that ports and harbors can be used as not only distribution bases but also citizens' bases for recreation and other activities. we have also promoted, through public projects and projects for utilizing private sector's vitality, the development of ports and harbors with emphasis on the development of domestic and foreign trade container terminals, harbor expressway, marinas, passenger boat terminals, and commercial, business and research facilities. To promote the development of districts serving as bases for general port and harbor space, we have created and carried out a comprehensive project undertaken continuously from the formulation of plans to the implementation of such plans by combining private and public works.
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