As Chinese recyclers saw vet more tonnage slip from their hands this week (owing to the low levels on show), the reality set in of what a bleak few months it has been and how this looks set to continue for some time yet.
Many of the vessels eluding their grasp are finishing in the Far East and it is simply proving more economical for owners to sell their tonnage 'as is' so that cash buyers can reposition to the Indian sub-continent.
There was yet more speculation this week that the two small general cargo vessels WIN and LARSEN had entered difficulties due to the unrealistic last fixing price of USD 300/LT LDT (with resale levels unlikely to be much above USD 260/LT LDT today).
Source: steelguru. 18 Jun 2013http://www.steelguru.com/chinese_news/GMS_weekly_report_on_Chinese_ship_breaking_industry_for_WEEK_24/315623.html