China

Ship recycling in China is performed in two locations—North (Shanghai area) and South (Xinhui area). The yards use dock or quay-based facilities. This is the only country where ships are not beached. There are approximately 90 breaking yards dotting the Pearl and Yangtze rivers.

In 2003, China broke the USD 300/LT LDT price barrier for the first time in demo history! China has been a choice for owners wanting green recycling, but with India catching up fast, competition is getting tougher as more and more owners are opening up to India for their green recycling needs.

  • 2010 has seen a significant decline in volume of vessels recycled
  • Leading destination for owners wanting green recycling, CAPES and other vessels discharging in China

KEY VALUES

  • Advanced ship recycling market
  • Large and emerging capacity
  • Volatility

DISADVANTAGES

  • High D/A costs
  • Lower than Indian sub-continent prices
  • Not a keen buyer of specialized ships

BEST MARKET FOR

  • Local vessels

GREEN RECYCLING

  • Fifteen yards have ISO certifications.