From January to September, global demolition tonnage has come up to 20.31m GT this year. Insiders reveal that the annual scrapping tonnage for 2011 is estimated to exceed the historical high 25m GT of 2007 to make a new record.
This predication is expected to alleviate the increasing oversupply of shipping capacity and raise people’s confidence in global shipping.
Some experts said the growth of bulker fleet might be less than 9% if the growing scrapping activity could continue.
GMS officials indicated that global scrapping shipyards would be capable of handling the growing demolition tonnage. In the past ten years, shipyards’ scrapping capability has been greatly enhanced with higher modernization and mechanization.
Besides, the scrapping price for per LDT is also on the rise.