The global shipping fleet drives international trade, moving over 80% of the world’s goods by volume. Understanding how the fleet develops—through new ship deliveries and the retirement of older vessels—is crucial for assessing the health, efficiency, and sustainability of the maritime industry.
📈 Fleet Growth: How Fast Is the Global Shipping Fleet Expanding?
The size of the global fleet, measured in gross tonnage (GT) and deadweight tonnage (DWT), continues to grow annually, though the pace has moderated in recent years.
Key Growth Figures:
- 2023: Fleet grew by 3.4% in GT.
- 2022: Growth rate was 3.2%.
- Long-term average (2005–2023): Around 5.2% annually.
- Total capacity (2024): ~2.4 billion DWT, with over 109,000 vessels above 100 GT.
Growth Drivers:
- Rising global trade volumes
- New shipbuilding deliveries
- Fleet renewal for environmental compliance
- Expansion of specialized vessel segments (e.g., LNG carriers)
However, growth has slowed compared to the early 2000s, when annual expansion averaged 7.1%. This reflects a shift toward fleet optimization, decarbonization, and regulatory compliance.
⚓ Scrapping Trends: How Fast Are Ships Being Recycled?
Ship scrapping, or recycling, is the process of dismantling older vessels that are no longer economically or environmentally viable. It plays a critical role in fleet renewal and sustainability.
2024 Scrapping Highlights:
- Only 324 ships recycled globally
- Total scrapped tonnage: 4.6 million GT
- Over 30% decline compared to 2023
- Lowest scrapping rate in nearly two decades
Breakdown by Ship Type:
- General cargo ships: 30% of scrapped vessels
- Containerships: 16%
- Bulk carriers: 15%
- Tankers: Only 17 scrapped, many diverted to shadow fleets
Why Scrapping Slowed:
- High freight rates kept older ships profitable
- Secondhand ship values exceeded scrap prices
- Financial constraints in major scrapping nations (e.g., Bangladesh, Pakistan)
- Regulatory uncertainty around recycling standards
🔄 Fleet Renewal Outlook: What’s Next?
Despite the slowdown in scrapping, the industry is poised for a wave of fleet renewal:
- Over 1,300 tankers, 1,250 bulkers, and 680 containerships are 20+ years old.
- New IMO and EU regulations (EEXI, CII) will make older ships less viable.
- Scrapping is expected to accelerate from 2025 onward, especially for non-compliant vessels.
🧭 Conclusion: Balancing Growth and Sustainability
The global shipping fleet is growing steadily, but the pace is more measured than in previous decades. Meanwhile, scrapping rates have dipped to historic lows, though a rebound is expected as environmental regulations tighten and older vessels become obsolete.
Understanding both sides of the fleet equation—growth and scrapping—is essential for stakeholders navigating the future of maritime transport.
References
- UNCTAD Review of Maritime Transport 2024
- Provides annual statistics and analysis on global fleet growth, scrapping rates, and industry trends.
UNCTAD RMT 2024 – Chapter II. World shipping fleet and services (PDF)
UNCTAD Review of Maritime Transport 2024 (Web) [RMT 2024 -…s – UNCTAD] [Review of…4 – UNCTAD]
- Provides annual statistics and analysis on global fleet growth, scrapping rates, and industry trends.
- Lloyd’s List: Ship Recycling Volumes in 2024 Drop to Lowest Levels Since 2005
- Details recent scrapping figures, ship types, and market factors affecting demolition rates.
Lloyd’s List Article [Ship recyc…since 2005]
- Details recent scrapping figures, ship types, and market factors affecting demolition rates.
- UNCTADstat: Ship Recycling, by Country, Annual (Analytical)
- Official UNCTAD data on annual ship scrapping volumes by country and region.
UNCTADstat Ship Scrapping Data [Ship recyc…nalytical)]
- Official UNCTAD data on annual ship scrapping volumes by country and region.
- Port Economics, Management and Policy: Ship Recycling, Demolition or Scrapping
- Explains scrapping methods, average scrapping age, and regulatory impacts.
Port Economics Article [Ship Recyc…gement …]
- Explains scrapping methods, average scrapping age, and regulatory impacts.
- NGO Shipbreaking Platform: List of Ships Dismantled Worldwide in 2024
- Provides figures on the number of ships dismantled and regional distribution.
NGO Shipbreaking Platform 2024 List [Press Rele…ldwide …]
- Provides figures on the number of ships dismantled and regional distribution.
- OECD: Ship Recycling
- Overview of the ship recycling market, economics, and regulatory context.
OECD Ship Recycling Report [Ship recyc…ing | OECD]
- Overview of the ship recycling market, economics, and regulatory context.
- IMO: Recycling of Ships
- Information on the Hong Kong Convention and international regulations affecting ship scrapping.
IMO Ship Recycling [Recycling…hips – IMO]
- Information on the Hong Kong Convention and international regulations affecting ship scrapping.
The Maritime-Hub Editorial Team
Disclaimer: The views and opinions expressed in this article are solely those of the author and do not necessarily reflect the official policy or position of Maritime-Hub. Readers are advised to research this information before making decisions based on it.
