Outlook Glum for Ship Recyclers

Shipowners and cash buyers continue to struggle with the ongoing tonnage shortage as sub-continent ship recycling markets continue down their current trajectory, says cash buyer GMS.

Negativity is permeating across the industry on the back of a short supply of vessels and global economies that remain shaky. “As such, ship recyclers continue to chip away at signs of a return to normality as vessel prices dip closer to USD 450/LT and nervy markets receive no respite in the face of declining steel prices, budget distresses, strained political situations and even the weather.”

Incessant rains have drenched much of Bangladesh over the week causing the nation to suffer through tragic floods over much of the country.

“India too remains lackluster as the import of cheaper Chinese product continues to weaken recycling sentiments, both here and in Pakistan where Gadani buyers seem oddly content to wait and watch market developments before committing afresh on the slim pickings of vessels that do come available.”

For week 34 of 2024, GMS demo rankings / pricings are: