Ship Recycling Market Taking a Hit From Geopolitical Uncertainty in Hellenic Shipping News 05/03/2026 The ship recycling market in Southeast Asia are also subject to the Gulf Region war escalation. In its latest weekly report, Best Oasis (www.best-oasis.com), a leading cash buyer of ships, said that “the Indian market came off during the week, with pricing levels no longer considered viable despite continued decent demand from end buyers. The Directorate General (DG) of Shipping has adopted an extremely strict approach toward sanctioned vessels proposed for recycling, with heavy scrutiny on class, flag, and insurance documentation. As all approvals must now be routed through the DG of Shipping, the process has become significantly more rigid. This shift is expected to create some near-term disruption in the inflow of sanctioned vessels, as several owners are hesitant to proceed under the tighter regulatory framework”. Source: Best Oasis Best Oasis added that in Bangladesh, “there remains visible demand from end buyers; however, the local market has yet to provide the necessary pricing push to convert this demand into stronger transactional activity. Overall sentiment appears positive following the conclusion of elections. With the interim party no longer in place and the elected political party assuming control, improved confidence and a more stable outlook are expected in the near term. The Pakistani market remained reasonable this week, with no significant movement in pricing or fundamentals. Buying interest continues at a steady pace, with a decent level of activity observed, although without any major shifts in overall market direction. Finally, the Turkish market remained stable this week. There were no major developments or notable changes to report, with overall conditions largely unchanged from the previous week”, Best Oasis concluded. Meanwhile, in a separate report, shipbroker Intermodal said that “the ship recycling sector faced mixed conditions last week, as weak regional steel markets, geopolitical uncertainty, and cautious sentiment weighed on activity. In India, the steel market remains subdued, with downward pressure on prices driven by weak demand, underutilized production units, and overcapacity. These conditions limit ship recyclers’ ability to offer competitive prices in the Subcontinent market. On the policy front, the Directorate General of Shipping has tightened oversight of sanctioned vessels, enforcing stricter documentation requirements. With all approvals now routed through the regulator, procedures have become more stringent and time-consuming, making owners increasingly cautious. In Bangladesh, market conditions remain positive, with participants showing a willingness to conclude transactions and confidence under the newly elected government. On the supply side, ongoing Middle East hostilities and rising tanker freight rates are expected to restrain owners’ scrapping decisions, limiting the flow of fresh candidates to the Chattogram waterfront. Source: Intermodal The steel market remained steady, with local plate prices declining marginally, though a monthly gain of USD 22/MT highlights the market’s firm underlying state. Gadani experienced sluggish conditions last week as the market entered the month of Ramadan. Activity was moderate, with a steady inflow of candidates and stable prices. The steel market softened compared to previous weeks, reflecting pre-festivity deceleration. Heightened political instabi