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Geopolitics, France and a Ship Order Geopolitics, France and a Ship Order
(4 months later)
ST.-NAZAIRE, France — Here on the Atlantic Coast, workers at France’s largest shipyard are closely following the standoff along Ukraine’s border with Russia, nearly 2,200 miles to the east. ST.-NAZAIRE, France — Here on the Atlantic Coast, workers at France’s largest shipyard are closely following the standoff along Ukraine’s border with Russia, nearly 2,200 miles to the east.
“Of course, it raises questions here,” said Christophe Morel, a union delegate at the STX France shipyard, where two Mistral-class helicopter carriers are being built for the Russian Navy. The first, the Vladivostok, is due for delivery in just six months.“Of course, it raises questions here,” said Christophe Morel, a union delegate at the STX France shipyard, where two Mistral-class helicopter carriers are being built for the Russian Navy. The first, the Vladivostok, is due for delivery in just six months.
The timing couldn’t be worse. As workers were putting the finishing touches on the Vladivostok’s giant gray hull at a dock here last week, NATO warplanes were buzzing the alliance’s border with Ukraine in a show of force meant to deter any military intervention by Russia.The timing couldn’t be worse. As workers were putting the finishing touches on the Vladivostok’s giant gray hull at a dock here last week, NATO warplanes were buzzing the alliance’s border with Ukraine in a show of force meant to deter any military intervention by Russia.
When France signed the contract for 1.2 billion euros, or $1.6 billion, with Moscow in 2011, these kinds of war games were nowhere on the horizon. At the time, French officials hailed the deal, the biggest military sale to Russia by a NATO country, as a sign that Moscow should be considered a partner, not an enemy. Now it has become an awkward showcase of the European Union’s vulnerability — even impotence — in the face of Russia’s moves against Ukraine.When France signed the contract for 1.2 billion euros, or $1.6 billion, with Moscow in 2011, these kinds of war games were nowhere on the horizon. At the time, French officials hailed the deal, the biggest military sale to Russia by a NATO country, as a sign that Moscow should be considered a partner, not an enemy. Now it has become an awkward showcase of the European Union’s vulnerability — even impotence — in the face of Russia’s moves against Ukraine.
It is also a reminder of how hard it is to shake the bonds of a globalized economy, particularly in a multinational industry like shipbuilding.It is also a reminder of how hard it is to shake the bonds of a globalized economy, particularly in a multinational industry like shipbuilding.
For the 2,200 employees of STX France, a South Korean-owned company in which the French government holds a 33 percent stake, the Russian contract meant badly needed jobs at a critical time. “It helped us keep our heads above water,” said Mr. Morel.For the 2,200 employees of STX France, a South Korean-owned company in which the French government holds a 33 percent stake, the Russian contract meant badly needed jobs at a critical time. “It helped us keep our heads above water,” said Mr. Morel.
But now, as the European Union continually reviews further sanctions against Russia, the Mistral contract keeps popping up like a bad penny. When one government minister suggested the contract might be suspended, he was met with a chilly reminder of the consequences from Moscow. Last month, the Defense Ministry put off any decision until October — when the Vladivostok is due to be handed over to the Russian Navy.But now, as the European Union continually reviews further sanctions against Russia, the Mistral contract keeps popping up like a bad penny. When one government minister suggested the contract might be suspended, he was met with a chilly reminder of the consequences from Moscow. Last month, the Defense Ministry put off any decision until October — when the Vladivostok is due to be handed over to the Russian Navy.
By that time, work on the second ship, aptly named the Sevastopol after the naval base in Crimea, will be far along. People here keep a close watch for Russian sailors: A crew of about 400 is due to arrive next month, and a handful could be spotted in the town’s center last week.By that time, work on the second ship, aptly named the Sevastopol after the naval base in Crimea, will be far along. People here keep a close watch for Russian sailors: A crew of about 400 is due to arrive next month, and a handful could be spotted in the town’s center last week.
For the approximately 300 STX workers now assigned to the Russian ships, these are signs that the Vladivostok, at least, is on track.For the approximately 300 STX workers now assigned to the Russian ships, these are signs that the Vladivostok, at least, is on track.
“The main thing is to finish the ships,” said Nathalie Durand- Prinborgne, who represents another union here. “Whether the delivery is made is not our problem.” “The main thing is to finish the ships,” said Nathalie Durand- Prinborgne, who represents another union here. “Whether the delivery is made is not our problem.”
It would, however, become a problem for France, which would be obligated to come up with €1.2 billion in refunds and penalties. At a time when France is looking at painful budget cuts, that kind of money would be hard to find.It would, however, become a problem for France, which would be obligated to come up with €1.2 billion in refunds and penalties. At a time when France is looking at painful budget cuts, that kind of money would be hard to find.
This coastal town of 45,000 has been swept up by history before. In World War II, it was used as a German submarine base, which made it a target of brutal Allied bombing. When the war ended on May 8, 1945, a handful of German soldiers were still here, hiding out in an indestructible concrete bunker that remains standing to this day.This coastal town of 45,000 has been swept up by history before. In World War II, it was used as a German submarine base, which made it a target of brutal Allied bombing. When the war ended on May 8, 1945, a handful of German soldiers were still here, hiding out in an indestructible concrete bunker that remains standing to this day.
In peacetime, the world’s business is the lifeblood of the local economy. In the last decade, the St.-Nazaire yards have belonged successively to a French, Norwegian and now a South Korean company. Subcontractors represent as many as 20 different nationalities. Orders come from all over: Next in line is a cruise ship for Royal Caribbean Cruises, an American company, with plans for two more for an Italian-Swiss company.In peacetime, the world’s business is the lifeblood of the local economy. In the last decade, the St.-Nazaire yards have belonged successively to a French, Norwegian and now a South Korean company. Subcontractors represent as many as 20 different nationalities. Orders come from all over: Next in line is a cruise ship for Royal Caribbean Cruises, an American company, with plans for two more for an Italian-Swiss company.
These colossal multistoried ships dwarf the Vladivostok, which, at about 650 feet, is regarded here as a “little boat,” nothing more than a big ferry — without the cruise liners’ luxury cabins, casinos and swimming pools.These colossal multistoried ships dwarf the Vladivostok, which, at about 650 feet, is regarded here as a “little boat,” nothing more than a big ferry — without the cruise liners’ luxury cabins, casinos and swimming pools.
Its significance for France is, of course, much greater. But for workers here, what count above all are the jobs, not the politics. Naval construction has always been a globalized business.Its significance for France is, of course, much greater. But for workers here, what count above all are the jobs, not the politics. Naval construction has always been a globalized business.