Ship Recycling Yards Ramp Up Search for Demolition Candidates as Monsoon Season Nears End

## Ship Recycling Yards Eye Aged Tonnage Ahead of Post-Monsoon Season Ship recycling yards are intensifying their search for demolition candidates as the monsoon season approaches its end, according to Seatrade Maritime. The seasonal shift traditionally marks a period of renewed activity at breaking yards in South Asia, particularly in Bangladesh, India, and Pakistan, where weather conditions during the monsoon months can significantly hamper operations. Old bulk carriers and LNG steam-powered vessels are currently at the top of recyclers' shopping lists, reflecting broader market dynamics that have left certain vessel classes increasingly uneconomical to operate. Aging LNG steamers — vessels powered by steam turbines rather than modern dual-fuel or diesel engines — have faced mounting commercial pressure in recent years as charterers and operators favour more fuel-efficient tonnage capable of meeting tightening emissions regulations. The post-monsoon window is a critical period for the recycling industry. Yards that have seen reduced throughput during the wetter months look to replenish their order books, and shipowners holding older, less competitive assets often find this a commercially opportune moment to conclude demolition sales. For bulk carrier owners, the calculus around recycling has grown more complex amid fluctuating freight rates on key dry bulk routes. Vessels that may have been retained during periods of stronger earnings are now being reassessed, particularly those approaching the end of their economic service lives or facing costly special survey expenditure. The LNG steamer segment presents a particularly compelling case for recyclers. As the global LNG fleet has modernised, older steam turbine vessels have struggled to secure term charters, with many operating in the spot market at a structural disadvantage. Scrapping these vessels removes tonnage that would otherwise weigh on fleet utilisation metrics. Steel plate prices at the major recycling destinations remain a key variable influencing demolition economics. Competitive pricing from yards eager to secure tonnage ahead of the post-monsoon surge could provide additional incentive for owners sitting on marginal demolition candidates to act. Industry observers will be watching closely to see whether the anticipated uptick in recycling activity materialises into a meaningful reduction in older, less efficient tonnage — a development that would have implications for both fleet capacity and the industry's broader decarbonisation trajectory. *Source: Seatrade Maritime*