Shipowners Feeling Scrapyard Blues as Steel Plummets: Chartby
It may be time for shipowners to join Europe’s protest against Chinese steel-price dumping that mobilized thousands of people to march in Brussels last week. The crisis in global shipping has led owners to scrap 530 bulk and container ships since the start of 2015, according to marine data provider VesselsValue.com. But the financial incentive to do so is diminishing. “In the short term, the continuing weakness in demand for shipping services and the inability to compete with Chinese steel exports will mean the pain in the recycling industry will continue, and prices are likely to fall further,” said Craig Jallal, senior data analyst at VesselsValue.com.