Mixed Signals for Ship Recycling Industry
Global economies delivered mixed signals as U.S. stocks maintained a steady decline over the tail-end of December, reports cash buyer GMS. China’s industrial growth slowed, and EU stocks reportedly surged.
“The U.S. Dollar started the year off-balance against ship recycling currencies, shipowners started to rejoice as the Baltic Exchange Dry Index showed signs of a resurgence, oil continued to slip on its way to USD 60/barrel even though it climbed to USD 57.17/barrel this week, local steel plate prices made no jarring moves beyond the recent trend, and beaching tides delivered twins in both India and Pakistan. At least it was encouraging to see the Indian market display some signs of improvement over the first week of 2026, as busier and less challenging times hopefully lie ahead.”
In the ship recycling markets overall, increasingly decisive times lie ahead for Bangladesh as a nation given that impending elections are nearing by the week and the country is being increasingly submerged by political protests, rioting, and instances of violence, says GMS. Bangladesh levels and demand have plummeted as a result and now lie at the foot of the sub-continent price rankings board, given that Pakistan and India both made improvements as December 2025 ended, and they moved up the ladder.
With more upheaval now expected across the world, continued economic and geopolitical shocks may temporarily prop up shipping markets and deprive recycling locations of vintage tonnage for a while longer.
