Dry Bulk Scrapping Approaches Record Numbers

By MarEx 2015-05-11 09:34:42

The dry bulk market is scrapping vessels at near-record rates, according to a BIMCO report released late last week.

Bimco said 52 Capesizes with a total dead weight tons (DWT) of around 8.7 million were sold for demolition in the first four months of 2015. This is already double the number of ships that were scrapped for all of 2014. The numbers are fast approaching 2012 levels when a record 70 Capesizes where scrapped.

Capesize is the largest dry bulk vessel carrying goods such as grain, iron ore and timber.

“The increase in Capesize scrapping comes at a much needed time for the market,” Sand wrote, adding: “Looking at the development so far this year the fleet growth has actually been negative, with a reduction of 0.8 percent.”

The shipping analyst further added that the 2015 numbers have exceeded BIMCO’s expectations but overall could prove positive for the industry. Owners are looking to scrap their vessels amid long-standing trends of oversupplies of vessels and falling dry bulk demand.

Demolition of Panamax ships, the second largest dry bulk segment, has also been on the rise this year as has it for the two smallest segments, Handymax and Handysize.

Overall demand for steel coupled with a flood of cheap Chinese steel has reduced the market price for the material. The increase has taken place despite falling prices for vessels that are sold for scrap.


Royal IHC launches TSHD for TNPA

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The launch and naming ceremony was performed by TNPA corporate affairs general manager, Lunga Ngcobo, and

Recycling of box ships slows

The number of container ships being headed for demolition has almost halved year on year as charter rates, especially for Panamaxes, have improved substantially.
IHS Maritime’s Sea-web.com data shows that year to date, 39 container ships have been recycled, almost half of the 77 container ships

Busan Port eyes intra-Asia trade

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At a seminar recently organised by BPA and the Korea Shipowners Association (KSA) in Busan, approximately 100 representatives from shipping companies,

Overcapacity could sink liner rates

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The capacity surge is coming at the same time that the National Retail Federation (NRF), a major US

Jan De Nul orders two offshore vessels

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Turkish Ship Attacked Approaching Libya

By Reuters 2015-05-11 05:19:22

A Turkish dry cargo ship was shelled from the Libyan coast as it approached the port of Tobruk and then attacked from the air as it tried to leave the area on Sunday, the Turkish Foreign Ministry said on Monday.

The third officer on the Cook Islands-chartered Tuna-1 vessel died and other crew members were wounded in the attacks, which the ministry condemned in a statement. It did not specify who launched the assaults.

“We condemn strongly this contemptible attack which targeted a civilian ship in international waters and curse those who carried it out,” it said. Ankara had protested to authorities in Libya. There was no immediate comment from Libyan officials.

A Libyan warplane from forces loyal to the internationally recognized government bombed a Greek-operated oil tanker anchored off Libya’s Mediterranean coast in January, killing two crewmen amid hostilities between factions vying to rule the oil-producing North African country.

Internationally recognized Prime Minister Abdullah al-Thinni said in February his government would stop dealing with Turkey because it was sending weapons to a rival group in Tripoli so that “the Libyan people kill each other”.

The cargo ship, owned by a Turkish company, was carrying plasterboard from Spain to Tobruk when it was hit 21 km (13 miles) from the port, suffering some damage, the Foreign Ministry statement said.