FOR THE MARINE TRADE | APRIL 2025 | ISSUE 15 marineindustrynews.co.uk IN THIS ISSUE... Brexit backlash Marine brands discuss the red tape and costs of Brexit Seamless circuit Electric motor company Zparq talks strategies Seaquip summary Behind the doors of the new Milan show FREEPIONEERS IN STABILISATION With unparalleled experience, CMC Marine offers the broadest range of electrically actuated zero speed and underway fin stabilisers, with thousands of systems installed on yachts and superyachts cruising worldwide. Our innovative approach and lateral thinking drive our seamless integration of fin stabilisers, thrusters, rudders and waterjets. Since 2005. DISCOVER MORE 15114 THE SUSTAINABILITY ISSUE - Subscribe to MIN daily newsEDITOR’S COMMENT marineindustrynews.co.uk | 3info@marineindustrynews.co.uk For boatbuilders, distributors, manufacturers, and all marine trade professionals. DAILY NEWSLETTER WEBSITE Read in 190+ countries Translated into 10 languages READERSHIPSOCIAL MEDIA 82% leisure marine 24,000+ followers 43% business owner/ MD/CEO Scan here for our rate cards Scan here to subscribe to our daily news 12,500 subscribers 35% open rate 10% click through rate 90,000 + monthly page views 35,000 + unique visitors GBP Euro Next issue distributed at: Cannes Yachting Festival , Southampton Boat Show, Genoa Boat Show and IBEX. Contact: mike@maa.agency or production@ marineindustrynews.co.uk to book your ad space. Advertising deadline – 17th July 2025. Editorial MIN daily news, website & magazine Editor – Chantal Haines chantal@maa.agency Managing Editor – Zella Compton info@marineindustrynews.co.uk Publisher/Advertising Mike Shepherd mike@maa.agency Italy, Admarex. Tel: +39 010 5954749 info@admarex.com Design and artwork Steve Davies steve@maa.agency Units SF1-2 Endeavour Quay Mumby Road Gosport PO12 1AH UK www.marineindustrynews.co.uk © Marine Industry News Ltd (MIN) Printed by Stanbury Chameleon on Carbon Balanced Paper, endorsed by the World Land Trust 04 BREXIT BACKLASH Leading manufacturers reveal the trials, tribulations and costs of Brexit red tape 11 SEAMLESS CIRCUIT Zparq CEO discusses finding a position in the market and the wider adoption of electric 29 FUTURE FACTORS Lloyd’s Register details the regulatory framework for hydrogen use in the marine industry 19 MARKET REPORT Industry experts from Sweden, Norway and Finland report on their home markets 22 QUAY INSIGHTS D-Marin’s CEO on the rapid growth of the marina company and how it is building the brand 25 SAFE COURSE Marine safety companies – Wescom, Mustang Survival and Ocean Signal – on their changing consumers CONTENTS As this issue goes to print, trade tariffs threaten to cast a long shadow over some parts of the manufacturing industry. While the ramifications of President Trump’s trade policies will draw into sharper focus in the coming months, marine brands are in preparation mode, hoping to weather the storm. In this issue of Marine Industry News magazine, we look at another policy that caused seismic shifts of its own – Brexit. Three companies discuss the red tape and real costs, and share the realities of what Brexit has meant for their businesses. Is there room for another trade marine fair? Seaquip’s organiser reveals why the new 2026 event in Milan is attracting an untapped market of component producers and marine brands on page 15. On page 11, Zparq’s CEO reveals how the electric motor company intends to carve its niche and grow. The GMBA sets out its market report on page 19 with a look at Finland, Norway and Sweden. Marine safety companies discuss the current challenges and opportunities in their sectors on page 25. Plus, D-Marin talks rapid growth, marina clusters and Mediterranean strategy on page 22. Finally, hydrogen power is put in the spotlight on page 29. The MIN team looks forward to seeing readers at the upcoming spring and European shows. Share your news with the editorial team at info@marineindustrynews.co.uk We hope you enjoy this issue. 15 SHOW BUSINESS Behind the doors of the new Seaquip marine trade fair in MilanFEATURES Kevin Rough (left), Daniamant’s CEO, doesn’t mince his words about the pain that Brexit has put the UK’s marine manufacturers, importers and exporters through. “The movement of goods into the EU has become more bureaucratic, with more paperwork and more cost,” states Rough. “Brexit has resulted in more red tape not less, that is not hearsay, that is a fact. If, as a UK manufacturer, you export into the EU, you have to adhere to all applicable EU regs. So, we now basically have to adhere to EU, and UK, regulations.” Daniamant is a Denmark-based company that is best known for manufacturing safety equipment and has recently acquired Jotron’s Marker and Strobe Lights. In 2006 it acquired McMurdo Survivor Location Lights, and established Daniamant UK, based in Portsmouth. That’s where Rough unpicks the ongoing legislation and calculates the costs per existing – and new – product. Post-Brexit, EU legislation was basically mirrored into UK legislation, Rough explains. But, since 1 January 2023, any EU marine equipment directive (MED) approved safety product (commonly referred to as Ships Wheel approval) also has to be approved to the new UK marine equipment regulation (MER), known as Red Ensign approval if it’s to be used on a UK-flagged commercial vessel – whether it’s a merchant ship, passenger vessel, fishing vessel or commercially operated leisure craft. That all seemed straightforward at first read, but a couple of years on? “Now the EU and UK regs are becoming out of sync in both date of issue, and content. It is more and more difficult to adhere to both,” Rough says. Brexit’s impact on marine safety legislation In 2024 Daniamant updated all its certificates in line with the 8th edition of MED. That came into force in September 2024. So now Daniamant can show Declarations of Conformity to customers (and surveyors). But meanwhile the UK’s Red Ensign was four months behind BREXIT BACKLASH 4 | MARINE INDUSTRY NEWS | ISSUE 15 | APRIL 2025marineindustrynews.co.uk Regulations, red tape and spiralling costs associated with Brexit are angering marine businesses who say policies and bureaucracy is putting manufacturers in a chokehold Courtesy of Cannes Yachting Festival/Kelagopian Thermaflex from Rooster. The technical watersports gear supplier opened and subsequently closed its German warehouse FEATURES MED, with an implementation date of 31 January 2025. This means that Daniamant has to update its certificates again to reflect MER’s latest version when it comes out. “Ironically,” says Rough, “we don’t have to update our certificates as the version of the MED or MER that we approved the product to at the time is valid until the certificate expires in five years (normal expiry date). But, in practice, the customer and surveyor demand to see the latest regulations reflected on all paperwork pertaining to the product approval.” Making matters worse, Rough notes that there is a new proposed MSN 1874 Amendment 11. That means the UK’s MER is likely to change again mid- 2025. “Some of the clauses could change, or the UK might not deem some elements of the MED relevant for MER. What was one harmonised European standard has become two standards, out of sync, more admin, more cost... and for what?” he asks. UK and EU regulations for marine products MED and MER aren’t the only compliances in the mix. There’s also the EU’s ATEX, which allows product to be used in atmospheres in the EU such as on chemical tankers. Now the UK’s UKEX allows the same in the UK. Then there’s the UKCA mark which needs to be placed on equipment for potentially explosive atmospheres (UKEX), and the CE mark to be placed on equipment for potentially explosive atmospheres (ATEX). “As a simple example, some of our products have so many references and logos on for compliance it is difficult to even see them,” Rough says. He cites time spent reading, and then understanding, and then implementing the paperwork around the regulations, as onerous. As an added factor in the Brexit mire, Rough mentions notified bodies (NBs). These are specialised entities who look after harmonising testing standards and certification on behalf of the EU. After Brexit, Daniamant had to appoint a UK NB to issue new certificates for the above UK regulations. But, the company also had to utilise a NB in Europe for the above EU Directives, which meant reissuing all Daniamant certificates so they originated in the EU. “This was, and still is, a significant cost,” says Rough. “Each product requires certification and we have approx 34 products at approximately €3,000 per certificate. Each product requires a declaration of conformity (we cannot make a dual declaration), double the administration for us as a manufacturer and for our customers who legally have to keep the declarations.” Brexit penalises UK marine manufacturers for being innovative Rough calculates that Brexit’s certification costs are now “basically double what they were.” Plus, there are now two standards to audit against – so those costs have doubled too. “It feels that you are penalised for innovation. The more products a manufacturer has, the more the regulatory, certification and audit costs.” He fears this will stifle innovation across the marine industry. And, to add insult to economic injury, Rough says no one is policing the regulations. “We still see products on UK- flagged vessels that do not comply with the new MER regs,” he says. “There is a competitive disadvantage to following all the legislation — due to costs involved to be compliant.” But that doesn’t stop Daniamant spending the time and money to do the right thing. “You have to be compliant and hope your customers are also compliant,” Rough says, but he notes that not all are, especially from lower-cost countries. Part of the problem is lack of information and advice. “You have to find out things yourself – there’s no industry feedback into what works.” With this in mind, Rough advocates joining trade associations where upcoming legislation is communicated to members. He lists personal associations such as IOD, IEMA, IOSH, IoE, CMI, etc and trade associations such as ILAMA, CIRM, and RTCM. The rising costs of Brexit for marine manufacturers “Brexit also had an influence in the acquisition of Jotron’s marker lights,” Rough details. “We decided to put the manufacture and supply of these new products into Denmark, and not the UK.“The majority of the customers for these products are based in the EU and if we had moved manufacture to the UK, those EU customers would now be treating the sale as an import. That would come with associated increased costs and paperwork to import from the UK. By moving it to Denmark our customers can still enjoy the free movement of goods. “The promise of customs’-free, and friction-free, trade between UK and EU has not happened,” says Rough. He says some of Daniamant UK’s smaller customers – importing perhaps £100 an order – are now finding some of the costs doubling. marineindustrynews.co.uk | 5info@marineindustrynews.co.uk Women’s supertherm clothing from Rooster “It feels that you are penalised for innovation. The more products a manufacturer has, the more the regulatory, certification and audit costs... There is a competitive disadvantage to following all the legislation — due to costs involved to be compliant.” Kevin Rough, DaniamantFEATURES Thus they’ve switched alliances to competitors in Europe to avoid costs (such as custom duties). Although many of Daniamant’s products do not attract duty, there are also increased costs due to new tariffs. “The main increase in customs’ costs comes from the ‘rule of origin’ tariff. That applies to the import of goods from the EU which were originally made, or contain components made, outside of the EU. The increased cost of customs duties places further burden on UK businesses. “Importing goods from the EU has also become far more complicated and time-consuming for UK businesses due to the bureaucracy involved. Daniamant has Authorised Economic Operator status, this is a decision we took to help make border processes more efficient as a pre-approved business recognised as low risk (another cost however),” Rough explains. Authorised Economic Operator status is an internationally recognised standard. It shows a business’s role in the international supply chain is secure and has customs control procedures that meet set criteria. “I can see how Brexit has not impacted many organisations on a micro basis, but on a macro basis – those who previously and currently deal with international trade and regulations have, in my opinion, seen no benefit,” he concludes. Barton Marine vocal over red tape and rocketing costs Barton Marine’s CEO, Suzanne Blaustone (left), has also been vocal about the disastrous impact Brexit has had on marine businesses. “Brexit is the most devastating form of self-harm... and has had a negative financial effect on the UK manufacturers, retailers and food providers since its inception,” says Blaustone. Speaking out against the chaos of the carnet system, the costs involved of exhibiting in the EU and the continued detrimental affect that Brexit is having on marine businesses, Barton Marine is finding the UK’s red tape much more onerous than pre-Brexit. Barton Marine has been exhibiting at European trade shows – such as Metstrade and boot Düsseldorf – for many decades. Before Brexit, Dermot Bealey (Barton’s production director) describes the process of taking a show to mainland Europe as: “Put everything in the van and drive to Calais. The only paperwork we needed was our passports.” But now? He sits dispirited, alongside Jeff Webber the company’s chief commercial officer, as both bemoan the pernickety processes involved in taking a stand to a trade show – and getting it back. Applying for a carnet for exhibiting abroad It sounds simple enough: UK companies now need to complete the carnet process in order to exhibit at an EU trade show. But the reality? ‘The ATA Carnet is an international customs document that permits duty-free and tax-free temporary import of goods for up to one year’, says the London Chamber of Commerce website, which hosts the process. (“To be clear, it [the carnet] isn’t for a whole year,” says Bealey. “You can only use it once.”) It contains pre-prepared unified customs declaration forms to be used at each customs border offices and serves as a guarantee to customs duties and taxes. It essentially means exhibitors may travel through customs without paying import duties or taxes at each customs border office. So far, so good. Except... all the goods being displayed and all the goods being used to make the exhibition display (hand tools, exhibition parts, light bulbs, stand, back drop) – typically 400-plus items for Barton Marine – need to be itemised. Within that process, each item needs its weight, dimensions, country of origin, tariff code, quality and value and more added to the portal. When this first came into effect, Barton spent ‘a couple of days’ working out how to fill it in. Now the company has a spreadsheet of the basic bits and it’s a much quicker process for them, but as Bealey says: “If you’re new, it’s a massive hurdle to learn about, and overcome.” When all the minutiae of data has been added, the carnet (which cannot be altered once submitted) takes around two days to be issued. “It’s a traditional system,” says Bealey, “with a lump of paper at the end, posted to you.” He waves a booklet around that contains all the details that were painstakingly submitted. “This cost £555 to produce,” he says, “plus the handling fee which takes it to about £600.” After the carnet arrives, Barton then applies for two Goods Movement References – one there, one back – and permission to head for the border. “All the pre-booking paperwork needs to be done before you’re allowed to set off,” 6 | MARINE INDUSTRY NEWS | ISSUE 15 | APRIL 2025marineindustrynews.co.uk Barton still exhibits in Europe in spite of red tape Barton Race kit Women’s Thermaflex clothing from Rooster “Brexit is the most devastating form of self- harm... and has had a negative financial effect on the UK manufacturers.” Suzanne Blaustone, Barton Marine Kevin Rough, CEO, Daniamant Barton Marine at MetstradeFEATURES Bealey says. That’s to a car park in Sevington, Ashford. It’s called an ‘inland border facility’. “There’s hundreds of people there in high-vis. It’s a massive waste of tax payer and private money. There are hundreds of people standing around a one-way system, but not doing anything. There are no checks of the van.” Once in place at Sevington, the goods movement documentation is checked, signed and dated. Then the waiting begins as the literal paperwork is given to the Border Force to check. That can take hours. “You wait for a phone call saying you’re clear. You get a red piece of paper and you can leave the site and go to the tunnel,” says Bealey. The only physical check is at the tunnel. When exhibitors arrive in France it’s a quicker and simpler process, he says. “You’re signed off to go in ten minutes.” Coming back, the French have a kiosk in the Eurostar coffee area to get the paperwork signed off, but once you’re in the UK it’s back to the lorry park and waiting for a phone call . . . spending a couple of hours but still with no physical checks. But that doesn’t mean that Barton will stop attending European exhibitions. “We’re not actually thinking about not doing them,” says Bealey. “But we’re not looking to grow anymore. There’s a show in Austria which we won’t do, it’s another £600 on a carnet. We would be doing more European shows if it wasn’t for this system.” And while he concedes that it might be cheaper to use freight shifters, like Penguin, Barton would still need to produce original invoices to be added to Penguin’s carnet. There is no getting away from the administration. Bealey adds that even the extra paperwork to simply ship a package to Europe is massively more complicated. “Red tape around the world is going up,” says Webber. “Shipping delays, while paperwork is processed, is adding weeks to deliveries to Europe.” He cites the shipping charges, and handling charges for collecting VAT in destination countries as adding to the burdens and notes that – thankfully – Barton Marine is a B2B business. “Because we’re B2B, we don’t need to worry about VAT in Europe. But what’s totally impossible is shipping to end customers. You have to be responsible for getting VAT-in, and be VAT registered in all those countries. As a B2C, Europe wouldn’t be viable for us.” And that’s not all. Both Bealey and Webber are horribly aware of both GPRS (General Product Safety Regulation) and CBAM (Carbon Border Adjustment Mechanism) changes coming down the line at speed and what they’ll need to put into place to make sure that – while they’re doing one thing in the UK – they can still trade effectively in the EU. “It’s a disaster for the UK and the taxpayers,” says Blaustone, “and for us. We have to keep stopping what we are doing and make time to comply with double the regulations. This means we’re behind other country’s productivity.” Barton Marine has stood staunchly and vocally against Brexit since before the referendum in 2016. “We were one of the few UK companies that provided EU customers and distributors in 2018 with a written Brexit brief on how Barton was preparing and responding to upcoming Brexit regulations affecting our EU shipments and product support,” says Blaustone.“We continue to feel that Brexit is the most devastating form of self-harm that the UK can support given the loss of free trade and borders with the EU, that it has not curbed illegal immigration – which has actually soared since the referendum vote, which did not assist or ‘fix’ the NHS which has declined in health service and efficiency, and has had a negative financial effect on the UK manufacturers, retailers and food providers since its inception.” Blaustone believes that the UK government has been crippled by the cost of legally re-writing all its laws – many to remain virtually the same to align with the EU. “Britain’s GNP has declined while banks and multinationals have moved their companies or resources out of the UK. We no longer are one of the largest allocation points for EU funding – so many of our prior EU funded projects for business and infrastructure upgrades have vanished,” adds Blaustone. Should British Marine do more? British Marine has come in for flack from some industry quarters for not taking a firm position on Brexit and the ramifications it has for member companies. “British Marine is taking a non- position about how Brexit has affected the industry,” says Blaustone, echoing online criticism of the trade association posted after MIN wrote about Danaimant’s MED/MER safety regulation experiences. Although Blaustone concedes that British Marine is now offering a much higher calibre of advice, she would love to see the association take a firm stance and give up what she sees as its ‘diplomatic’ approach of not having an actual opinion. British Marine says it deals with a broad range of issues on behalf of its members, including Brexit and its ongoing impact on the marine industry. It recognises that Brexit affects different businesses in different ways, from regulatory compliance to market access, and says it continues to work closely with members to provide tailored support and guidance. “Brexit is an extremely broad issue that impacts marine businesses in many different ways,” says Lesley Robinson, CEO of the association. “British Marine continues to support its members by providing guidance on regulatory compliance and market access, as well as engaging with policymakers to address industry concerns. We encourage any business facing Brexit-related challenges to reach out to us directly so we can provide tailored support and advice.” For companies facing specific challenges related to Brexit regulations, British Marine encourages them to contact the organisation so they can offer advice and information relevant to their needs. This includes support around key areas such as the UK marine equipment regulations (MER) and the EU’s marine equipment directive (MED), where they help businesses ‘navigate compliance requirements and market entry complexities’. The organisation says it also remains engaged with policymakers and industry stakeholders, advocating for practical solutions to the regulatory and trading challenges that impact the marine sector. marineindustrynews.co.uk | 7info@marineindustrynews.co.uk “We would be doing more European shows if it wasn’t for this system.” Dermot Bealey, Barton Marine Companies lament the red tape Brexit has introduced when it comes to exhibiting in Europe. Image courtesy of boot Düsseldorf Rooster’s new warehouse in Germany became prohibitively expensive to runFEATURES Maintaining stable margins is more challenging post Brexit Luke Morrison (left), CEO of Rooster – the UK-headquartered supplier of technical watersports gear – unpicks the reasons behind the firm opening and closing an EU warehouse in the space of four years. “Pre-Brexit we were a relatively highly profitable company with good steady growth,” says Morrison. But now? Like MIN’s recent discussions with companies such as Daniamant – livid with the cost of dual regulations – and Barton Marine – expressing outrage at the pain of taking exhibitions to the continent – Rooster is unhappy with the unnecessary Brexit burdens shackling the UK. “Since day one we have been quite vocal about Brexit being the worst thing that could have happened,” says Morrison. But Rooster took a different pathway to Barton and Daniamant. “Very early on we decided that rather than giving up the large amount of business we have in the EU, we would invest and capitalise a new business in Germany and get a warehouse. “We said to our European customers ‘we are going to back our business, back you and make it work, ensuring smooth product supply’.” So that’s what Rooster did. It rented a warehouse in Witten, Germany with the accompanying outlay in finance. The idea was to stock up the warehouse – in addition to premises in the UK and USA. “We knew that there’d be turmoil over the first couple of years [of Brexit] with harmonising what stock we needed where, and how all that would work, but customers were able to get their product locally and from day one it reassured our marketplace. “They thought ‘absolutely fantastic’.” In the transitional year one (2020), Rooster was still sending product from the UK, but by plus one (2021), the warehouse was fully functional. “We were already up and running with our German warehouse, so all was good.” Morrison is upbeat as he points out that it was definitely the right thing to do for that period of change. “We didn’t lose any business or customers, and against our competitors it positioned us really well as well.” Weighing the benefits and costs of Rooster’s German warehouse The move came with downsides, like having to de-invest in the UK, although Morrison says that wasn’t “too much change.” “We thought in the run long it would work,” he says. But by early 2024 the benefits were being weighed against the costs – and were found wanting. “Over time as supply chains have eased and UK exporting procedures have eased, it started to cast relevance over the Germany warehouse” The warehouse initially opened to get the product to the customer. Coming out of covid the expectation was that the European market was going to come back buoyant and carry on growing more than it had ever done before... and that there wasn’t going to be a war in Ukraine. Morrison notes that during this timeframe, dealer networks have also been experiencing a shift in customer purchasing behaviour. He believes that’s driven by continued growth in online sales and lingering overstocking habits from the covid era. “It’s important to note that Rooster fundamentally believes in supporting a strong dealer network. Dealers remain our greatest asset for geographical growth,” he says. “We have a compelling and well- considered product range that is built to meet the needs of our market. However, there is a growing perception within the marine industry that aligning product offerings with dealer needs — in a way that remains commercially sustainable — is becoming more challenging. In recent years, dealer networks have faced notable pressures, particularly due to the aftermath of covid and other global events that continue to reshape how customers buy and how products are promoted.” At the same time, Morrison says, the ability to send parcels into Europe has become easier. He acknowledges there’s still the duties and VAT to figure out but says, in essence, things work. Rooster closes its warehouse At the beginning of 2024, Rooster took the decision to bring its European dealers back to the UK and close the German warehouse - which happened in October 2024. It paid its final bill in March 2025. “We now seem to have European customers successfully purchasing from Rooster. Goods are leaving our UK warehouse or our China warehouse, and going directly to them,” says Morrison. “Nine months in, we’re maintaining the customers well, but it’s on the proviso that we pay the duty. And there’s complexities around how we manage all of that, but generally we think it’s working. Morrison believes it was the right time to come back to the UK as that’s the company’s roots. Plus, In the medium to long term Rooster is a much less costly business to run without the German company. “On a practical level, it’s the right thing to do. On a business level, we expect profitability to increase and continue to do so as we head into 2026/2027, essentially because we haven’t got an extra warehouse. “There are still barriers – a customer can’t receive their package without enhanced paperwork through tariffs. That’s really tricky and does frustrate customers. But because we set the scene well and communicated well, our customers stay with us.” Now he says Rooster is working on enhancing its distributor network across Europe.“We know that there are smaller entities who just want to take product from within the EU, we work with these resellers to ensure that they can receive product Rooster utilises its China factory for distribution Rooster’s had a factory it’s worked with for over 20 years in China. That long-standing and secure relationship means it’s now able to use them as ‘a consolidation hub’ from the other factories that produce Rooster products. “Effectively, whether you’re a dealer, distributor or US store or UK warehouse, we can bring products together, containerise them and air freight them or whatever to any location,” he says. “We’ve put a programme together so customers can take product directly from the factory if they want - some like it, some don’t like it as they have to use freight forwarders instead of couriers. But it’s there as a back- stop. If people invest in more product we can do it more cost effectively from the factory. “Our direct business is consistent; it’s growing quite nicely.” 8 | MARINE INDUSTRY NEWS | ISSUE 15 | APRIL 2025marineindustrynews.co.uk Daniamant RL8 liferaft lighting system British Marine has come in for flack from some industry quarters for not taking a firm position on Brexit and the ramifications it has for member companies. Cannes Yachting Festival. Courtesy of Kelagopian/CYFNext >