The Scottish Government has confirmed that Chinese shipyards will not be excluded from bidding on two new Northern Isles freight ferries, despite calls from Labour MSP Paul Sweeney to apply restrictions under the UK Procurement Act 2023.
In a written answer issued on 5 November, Transport Secretary Fiona Hyslop said there is “no policy or approach that excludes Chinese companies from bidding for work on Scottish Government led or funded projects.”
She added that Caledonian Maritime Assets Limited (CMAL), the state-owned procurement body, “considers bids for vessel contracts in accordance with the requirements of the Public Contracts (Scotland) Regulations 2015.”
According to Hyslop, CMAL is expected to carry out “appropriate due diligence, including financial and other checks on all of the companies they invite to tender.”
Her response follows Sweeney’s earlier question, lodged on 17 October, asking whether ministers would instruct CMAL to disregard bids from Chinese shipyards “in light of reported concerns regarding unfair, market-distorting state support for Chinese shipbuilding firms, and the lack of a trade agreement between the UK and China as defined by section 89 of the Procurement Act 2023.”
The £200 million contract to build two freight ferries for the Aberdeen–Kirkwall–Lerwick route has shortlisted four shipyards: Cemre and Tersan in Turkey, Guangzhou Shipyard International in China, and a UK–China partnership involving Stena and China Merchants Jinling Shipyard in Weihai.
The vessels are intended to replace older freight ships and will carry both cargo and up to 200 passengers at peak times.
Concerns have been raised that Chinese yards could have an unfair advantage due to state subsidies. However, the Scottish Government has now made clear that it will not intervene to prevent them from bidding.
Because supporting the maritime power of what is essentially an authoritarian regime that mixes the best characteristics of communist and fascist and is working its way towards maritime dominance is such a good idea.. well done SNP give your head a wobble.
Would rather buy from China (or Turkey) than English yards. Tells you everything you need to know about the mentality of that bunch.
Insane.
Treasonous.
We don’t block bids for other matters, and this is in essence a private procurement for which rules apply. Changing those rules is a matter for Westminster, and the internal market act.
Can you imagine the squeals from the SNP if Westminster overruled them?