The ship recycling industry further witnessed the dithering demand, slowdown in sales and weakening prices this week again. It started with the Bangladeshi market last week, who, on the back of their budget witnessed price levels rolling back. India
Expectedly (and has always been the case), Pakistan stayed close to India and it is only a matter of time in the near future when a drop in prices of their own will be on the way down (likely sooner rather than later). The only market mat has stayed steady and even showed signs of a potential firming has been China
Notwithstanding, even though the price gap between China and the sub-continent has narrowed, there remains a temptingly healthy difference for owners to still poke a stick at recyclers in India and (hope to) get an offer starting with a USD 5XX/Ton.
Meanwhile, oversupply continues to rear its massive head at the markets, which have an increasingly smaller appetite for tonnage across the board. Of course, when a juicy vessel is offered, recyclers in the respective market of interest do react in kind and pay generously. At least one such vessel sold this week was committed at an entirely unexpectedly high level.
While sales did take place this week, the number has dropped drastically as compared to the voluminous months earlier in the year. Caper M/V RICSUN and TMTs M/T IRON MONGER 5 were both committed to China and Pakistan
For week 24 of 2011, GMS demo rankings for the week are as below:
| Ranking | Market Sentiment | GEN CARGO Prices | TANKER Prices |
| | Weak | USD 495/lt ldt | USD 520/lt ldt |
| | Weak | USD 485/lt ldt | USD 515/lt ldt |
| | Cautious | USD 480/lt ldt | USD 500/lt ldt |
| | Steady | USD 455/lt ldt | USD 475/lt ldt |
Source: Steel Prices - China. 22 June 2011. (Sourced from GMS Weekly)
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