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Ship Recycling Market Transitions to Hong Kong Convention Compliance
After decades of ongoing efforts, the Hong Kong Convention (HKC) has entered into force with big changes underway for the industry, reports cash buyer GMS. Bangladeshi and Pakistani markets still have a lot of work to do and catch up to the strides India has already made in upgrading their facilities over the last decade.“This is certainly great news for stakeholders, ship owners, cash buyers, recyclers…
Landmark Week Ahead for Ship Recyclers
The tension surrounding the US attack on Iran saw the Baltic Exchange Dry Index (BDI) fall a massive 3.5% down to its lowest level seen over the last two weeks, erasing most recent gains as Friday closed, reports cash buyer GMS. Leading the race was the Capesize index that fell nearly 6.5% across the week while the Panamax index fell 0.2% during the same time.“The price of oil, which will also be a…
Geopolitical Drama Hurting Ship Recycling Markets
The Indian sub-continent recycling markets have been on a downward spiral for most of this year and this week was no different, reports cash buyer GMS.Offers are retreating across the market rankings and owners are chasing market levels amidst an economic and global uncertainty that was expected to deliver an influx of recycling tonnage and is yet to be fully seen.“Indeed, constant geopolitical drama…
Monsoon Season and Tariffs Impacting Ship Recycling
While the lingering tariffs on steel imports into the U.S. hang in the balance, steel plate prices across the Indian sub-continent continued to display volatility, reports cash buyer GMS.“While charter rates in the dry segments certainly impressed, a recent influx of large(r) LDT wet tonnage (four LNGs) and even a VLOC that was recently sold for recycling certainly captured the attention of the ship recycling fraternity…
Steel Tariff Set to Dampen Ship Recycling Sentiment
The Trump announcement of tariffs on nations currently exporting various grades of the metal to the US is unquestionably set to dampen global steel prices and ship recycling sentiment across the Indian sub-continent, reports cash buyer GMS.“Every week is now intent on bringing with it, an entirely new economic reality for the world to re-adjust to, turning everyday business practices into an extremely erratic and volatile way of conducting any type of practical international trade…
Ship Recyclers Face Confusing Market Fundamentals
Ship recycling markets saw the U.S. dollar surge against nearly all ship recycling nation currencies (except China) last week, reports cash buyer GMS.Steel plate prices firmed / declined / flatlined in a series of confusing signals to ship recyclers and the industry at large. “The recent trimming of tonnage at the bidding tables also seems to be easing as local port positions in both India and Bangladesh reported a healthy collection of arrivals and deliveries this week.”In Bangladesh…
Testy Times for Ship Recyclers
Sub-continent recycling markets have been on a negative spiral of late, especially ahead of the quieter monsoon season, reports cash buyer GMS.“Pakistani and Bangladeshi recyclers need to speed up their readiness and ensure yard compliance with the Hong Kong Convention by June 26th. While nearly all Indian yards are certified, the focus shifts to neighboring Pakistan and Bangladesh to get their facilities…
Ship Recycling Fundamentals Remain Shaky
As inflation starts to slowly ramp up across the world, the US is gradually heading for a recession as the American economy shrank through Q1, reports cash buyer GMS, and the U.S. Dollar has weakened against some recycling nation currencies.The Baltic Exchange Dry Index reported increases this week as trade starts to shift around the world and global economies hash out fresh trade agreements without the United States…
Ship Recycling Markets Stall
Although some momentum was generated in sub-continent markets over the preceding weeks as the 90-day pause on tariffs was announced, ship recycling markets have remained cautiously stalled, reports cash buyer GMS.“This comes as the ambiguity around U.S.
China Tariffs Concern Ship Recycling Markets
Even though dry markets were up for the week by 1.6%, overall, they have declined a massive 24% this month (according to Baltic Exchange Dry Index), reports cash buyer GMS.This comes as oil climbed over 3% to end the week at nearly USD 64.50/barrel, in the face of OPEC+ countries now reversing course on increasing output amidst a rampant decline in global energy demands.Sub-continent markets have also had to endure knock on effects of the tariffs as the standoff between China and the U.S.
Ship Recycling Market Fearful of Tariff Developments
“An extremely volatile week of tariff announcements, suspensions, mishandling of economic affairs and fluctuating markets has left Indian sub-continent ship recycling destinations on edge, fearful of the next moves by a seemingly irrational and aggressive Trump regime,” reports cash buyer GMS.“Reportedly, Trump’s tariff backtracks erupted on the back of a massive sell-off of U.S. Treasury Bonds (the Gold standard of currency for the U.S.
Ship Recycling Activity Drops
The global ship recycling sector witnessed some interesting activity last week as local steel plate prices continued to climb in India, fall in China and flatline in Bangladesh and Pakistan, reports cash buyer GMS.Recycling activity has been picking up in sub-continent markets over the last few weeks as the number of deliveries greatly improved of late, but this week has seen the various waterfronts take a beating with no fresh arrivals in Bangladesh…
GMS Trains Over 10,000 Ship Recycling Workers
Cash buyer GMS has reached a milestone in its drive to transform safety in the ship recycling industry with over 10,000 yard workers across India, Bangladesh and Pakistan having now received free, high-impact safety awareness training.The achievement marks a first for the industry and signals growing momentum ahead of the IMO’s Hong Kong Convention (HKC), which enters into force in June 2025 and sets…
Sanctioned VLCCs Remain Stranded Off Bangladesh
Two OFAC-sanctioned VLCCs remain stranded outside Bangladeshi waters with no prospects of a final resting place, reports cash buyer GMS, and this is now seeing cash buyers and ship recyclers being vigilant in their due diligence prior to negotiating on units.There are reportedly still a few more units in cash buyer hands that are waiting to be introduced for a recycling resale. However, given the fate that the behemoth duo has run into outside Bangladesh…
Recycling Market Abuzz Over Sanctioned VLCCs
This week’s news was abuzz surrounding the two OFAC sanctioned VLCCs that recently arrived OPL Chattogram and are now stuck after undoubtedly risky transactions that have resulted in several failed onward resales, reports cash buyer GMS.Both vessels have yet to receive their respective No Objection Certificates (NOCs) to permit their entry into port limits for recycling. As the Artemis III and Itagua remain stranded…
Ship Recycling Markets Calm After Hectic Start of Year
After what has certainly been a hectic January of negotiations and a late February / early March of unending deliveries with nearly 200K of LDT delivered in recent weeks, a period of calm reflection descended across Indian sub-continent ship recycling markets, reports cash buyer GMS, with an alarmingly minimal number of deals being fixed over recent weeks including this one.“And ever since prices have…
Ship Recyclers Short on Tonnage
Charter rates continue to climb as dry bulk carriers, Capes and even Panamax sectors reported rising rates this week, reports cash buyer GMS.
Freight Rates Frustrate Recyclers
A recent and ongoing uptick in freight rates across many sectors (especially dry, as wet rates have been performing far admirably in comparison) has resumed depriving global ship recycling markets of tonnage over the last couple of weeks, reports cash buyer GMS.“This has promptly manifested itself at the various sub-continent waterfronts this week in both India and even Pakistan that has now returned to an empty port position once again…
Tariffs Destabilizing Ship Recycling Market
The effects of the US 25% tariffs announced on Chinese steel and aluminum products is already seeing destabilizing effects on ship recycling markets, says cash buyer GMS.“It remains unsure as to where much of this surplus / excess and resultingly cheaper steel will end up, devastating ship recycling prices.”Compounding market uncertainties have taken center stage, says GMS, with President Trump’s “uncalculated tariff wars sending economies rocking this week, unintentionally targeting the U.S.
Ship Recyclers can Expect Falling Prices
The “raging fires of tariffs and counter-tariffs” that continue to suppress recycling vessel prices are creating a path for falling prices in the first, and possibly second, quarter of 2025, reports cash buyer GMS.“Some of the seriously older tonnage that has gotten an extension on their expiration dates via global events and wars that saw charter rates soar through the skies across 2023 and especially 2024…
