The European Commission has released a new study aimed at clarifying the distinction between 'open registers' and 'flags of convenience' in the shipping industry. Open registers are a form of ship registration in countries different from those of ownership, lacking a significant tie to the flag state, which often leads to lower tax benefits for ship owners. This practice can occasionally get conflated with flags of convenience, which are used as a scheme to bypass regulations and taxes.

The study emphasizes that the terms 'open registers' and 'flags of convenience' are not synonymous. While some open registers may operate with lax oversight, the vast majority adhere to high quality standards and are not meant to undermine international regulations. This distinction is crucial as it affects how maritime policies and regulations are formed and enforced within the EU and globally.

Ultimately, the Commission’s findings underscore the importance of maintaining rigorous standards in maritime registration. It aims to ensure that legitimate open registers are recognized for their adherence to quality standards while addressing the concerns surrounding the misuse of flags of convenience that can negatively impact global shipping practices and regulatory compliance.