Ship Recycling: Market Remained in a State of Stagnation: BEST OASIS
This week, the ship recycling market remained in a state of stagnation across all major destinations, with no significant developments impacting pricing or demand. India remained under pressure as the strengthening U.S. dollar against the rupee added further strain, keeping market sentiment locked in a repetitive cycle of inactivity. Bangladesh saw no shifts in market conditions, with prices readjusting in line with local trends but failing to generate fresh interest. Pakistan’s market followed its familiar, silent pattern, showing no signs of change or renewed sentiment. Meanwhile, Türkiye mirrored last week’s trend, maintaining a steady yet uneventful outlook. Overall, the market appears to be in a holding pattern, waiting for a catalyst to break the cycle. With no major shifts on the horizon, all eyes remain on external factors that could reignite momentum.
Global crude steel production in January 2025 experienced a 4.4% decline compared to the same month in the previous year, reaching approximately 151.4 million tonnes, as reported by the World Steel Association. China’s steel output saw a notable drop of 5.6%, while India continued its upward trajectory with a 6.8% increase. The United States recorded a modest rise of 1.2%, whereas Japan’s production contracted by 6.6%. Among different regions, the Middle East experienced the sharpest decline at 15.3%, while Russia and other CIS nations, including Ukraine, posted a slight growth of 1.4%. Despite some countries reporting increases, the overall global steel output declined, largely driven by reduced production in China and weaker manufacturing activity across multiple regions.
India
The market remains caught in a cycle of stagnation; Sentiment stays subdued. The market sentiment continues to remain stagnant, with no significant changes from last week. It feels like the market is in a loop, with no major developments affecting pricing or demand.
The strengthening of the U.S. dollar against the Indian rupee is adding further pressure on the market.
India may extend restrictions on low-ash metallurgical coke (met coke) imports to encourage local steel mills to source from domestic suppliers. However, major steel producers have raised concerns over domestic met coke quality.
Beaching Dates
28 February to 05 March
13 March to 18 March
27 March to 31 March
Bangladesh
The market stays the same as regulatory developments move forward.
Market conditions remain unchanged from the previous week, with little to no shift in activity. Prices have been readjusted as per local market conditions.
The IMO’s Safe and Environmentally Sound Ship Recycling (SENSREC) project, backed by Norway, continues to promote sustainable ship recycling. Recent draft amendments to Bangladesh’s ship recycling laws aim to align the industry with international environmental and safety standards. These proposals were reviewed in a February 2025 workshop in Dhaka, marking progress toward compliance with the Hong Kong Convention.
Beaching Dates
28 February to 03 March
14 March to 17 March
29 March to 31 March
Pakistan
The market continues its slow momentum with no significant shifts in activity.
The market continues to follow its familiar pattern, showing no signs of change. No sentiment shifts have been recorded, and the market remains silent and stagnant.
The coming months will provide a better understanding of the market dynamics, but for now, the market is expected to follow a similar sentiment with no immediate changes anticipated.
Pakistan Steel Mills has terminated over 1,370 employees without offering any special package, sparking concerns from the Pakistan Steel Labour Union (PASLU), Karachi, which has urged the administration to withdraw the orders and called for government intervention.
Meanwhile, the government is in talks with Russia to establish a modern steel mill at the Pakistan Steel Mills (PSM) site, with the Minister for Industries and Production set to visit Moscow next week.
Beaching Dates
Throughout the month
Türkiye
The market remains unchanged with no developments, while economic recovery faces new challenges.
Market conditions remain unchanged, with no significant movements in activity or sentiment. The outlook remains steady, mirroring previous weeks.
Türkiye’s economy bounced back in Q4 2024, posting a 3.2% annual GDP growth, largely fueled by a booming construction sector. However, the momentum hit a hurdle in early 2025 as imports surged in January, outpacing exports by 5 percentage points. This sharp rise pushed the trade deficit to 7.5 billion USD, raising concerns over the country’s trade balance despite the earlier economic rebound.
Beaching Dates Throughout the month
