Container ship demolition sales lowest in twenty years

Container ship demolition activity fell to its lowest level in twenty years in 2025, reflecting strong freight markets, high charter rates and owners’ reluctance to scrap older tonnage. New data from Alphaliner highlights how limited recycling volumes contrast sharply with earlier peaks in the container cycle.

The number of cellular container vessels scrapped in 2025 was the lowest in twenty years, with only twelve ships for a total capacity of 8,172 teu recycled and another three small units sold that have yet to be demolished.

This was well below the already weak 2024, which saw 95,607 teu scrapped and a far cry from the record of the decade, 655,000 teu achieved in 2016.

The healthy container shipping market, with a high demand for tonnage and robust charter rates throughout the year have explained in great part shipowners’ reluctance to dispose of their older tonnage, preferring instead to make the most of the lucrative trading environment.

Demolition sales included mostly small ships, with ten of the twelve vessels scrapped being below 1,000 teu of capacity.

The largest vessel bought by recyclers was the 2,407 teu HORIZON ENTERPRISE, built in the US in 1980, originally as Farrell Lines’ AUSTRAL PURITAN. The smallest was the 286 teu Chinese-controlled ZI YU LAN a rare vessel built in Germany in 1995, able to accommodate 392 passengers in addition to its commercial cargo.

The average age of ships sold was 30 years, the oldest unit being 45 years old, the youngest being 20.

Meanwhile, demolition prices continued to gently fall in the Indian Subcontinent throughout 2025. However, at $400-430 per light displacement tonne (LDT) in December they were still historically strong.

Turkey also declined in the first part of the year but was subsequently a little more stable, with prices hovering around $270-290 per LDT.

Source: Alphaliner