Global Ship Breaking Market is valued at approximately USD 3.98 billion in 2023 and is anticipated to grow with a healthy growth rate of more than 8.2% over the forecast period 2024-2032. Ship breaking refers to the dismantling of a ship after its estimated end of life. Based on utilization and condition, vessels are sent for scrapping to yards, which charge ship owners based on the Light Displacement Tonnage (LDT) of a ship for end-to-end dismantling or scrapping. The majority of ship recycling yards are present across South Asia, particularly in China, India, Bangladesh, and Pakistan.

The market is experiencing growth driven by various factors, such as the aging fleet, emission regulations, and safety measures. On average, ships are sent to recycling at the age of 25 to 40 years depending on the type of ship, annual utilization, vessel condition, and other factors. The aging ship fleet is a significant driver in the ship-breaking market, as many vessels worldwide are reaching the end of their operational life. According to the United Nations Conference on Trade and Development (UNCTAD), the average age of the global commercial fleet is around 21 years . Older ships often become less efficient and more costly to maintain, leading ship owners to consider decommissioning and recycling options. As of 2021, about 25% of the global fleet was over 20 years old , indicating a substantial number of ships are nearing the end of their lifecycle. This trend has resulted in increased demand for ship-breaking services, particularly in regions such as South Asia, where the majority of ship recycling takes place . The ship-breaking industry is essential for repurposing valuable materials like steel and reducing environmental risks associated with outdated vessels. Moreover, the development of new ship recycling yards, as well as automation and robotics present various lucrative opportunities over the forecast years. However, the safety and environmental regulations, as well as economic viability are challenging the market growth throughout the forecast period of 2024-2032.

The key regions considered for the Global Ship Breaking Market study include Asia Pacific, North America, Europe, Latin America, and Rest of the World. North America is a dominating region in the Global Ship Breaking Market in terms of revenue. The market growth in the region is being attributed to factors including its high concentration of ship ownership among European operators. Whereas, the market in Asia Pacific is anticipated to grow at the fastest rate over the forecast period fueled by major ship owners in countries such as China, South Korea, and Japan. The region's extensive network of ship scrapping yards supports this growth, with many shipyards expanding their annual ship-breaking capacity to meet increasing demand and drive economic development.

Major market players included in this report are:
Habib Group (Bangladesh)
Ratanpur Ship Recycling Industries (Bangladesh)
Chittagong Ship Yard (Bangladesh)
Arefin Enterprise (Bangladesh)
Changjiang (China)
Zhoushan (China)
PHP Ship Breaking and Recycling Industries (Bangladesh)
Alang Ship Yard (India)
iZMiR Ship Recycling (Turkey)
Spot Shipping AS (Turkey)
Zhengyuan Shipping Pte Ltd
Best Oasis Limited
Indigo Marine Services LLP
Avinash Ship Breaking Industries Pvt. Ltd.
S.R. Shipping Limited
The detailed segments and sub-segment of the market are explained below:
By Light Displacement Tonnage (LDT):
Below 20,000 Tons
20,000 to 40,000 Tons
Above 40,000 Tons
By Method:
Alongside
Beaching
Dry Dock
Other
By Type of Ship:
Tankers
Bulk Carriers
Ferries and Passenger Ships
Container Ship
General Cargo Ship
Others
By Region:
North America
U.S.
Canada
Europe
UK
Germany
France
Spain
Italy
ROE
Asia Pacific
China
India
Japan
Australia
South Korea
RoAPAC
Latin America
Brazil
Mexico
Rest of Latin America
Middle East & Africa
Saudi Arabia
South Africa
RoMEA
Years considered for the study are as follows:
Historical year - 2022
Base year - 2023
Forecast period - 2024 to 2032
Key Takeaways:
Market Estimates & Forecast for 10 years from 2022 to 2032.
Annualized revenues and regional level analysis for each market segment.
Detailed analysis of geographical landscape with Country level analysis of major regions.
Competitive landscape with information on major players in the market.
Analysis of key business strategies and recommendations on future market approach.
Analysis of competitive structure of the market.
Demand side and supply side analysis of the market.