In this Week 35, 2026 episode of the GMS Weekly Podcast, Ingrid and Henning discuss the latest developments shaping the global ship recycling market, including new U.S. sanctions affecting Iranian-linked shipping, stronger freight markets, limited recycling vessel supply, and changing conditions across Gadani, Chattogram, Alang and Aliaga. The central story this week is a growing imbalance between strong recycling demand and limited vessel supply. Buyers across the Indian sub-continent remain active and yards have available capacity, but ageing ships are continuing to earn attractive returns in the freight market, giving shipowners fewer reasons to sell vessels for recycling. Pakistan remains at the top of the ship recycling price rankings, with Gadani indications around USD 520 per LDT for dry bulk, USD 540 per LDT for tankers and USD 550 per LDT for containers. The exceptional buying surge seen earlier in August has cooled slightly as local steel prices corrected, but recycling appetite remains healthy. The container vessel Visakha and tanker Lyra have now arrived at Gadani, bringing physical tonnage to a market that recently reached the top of the price board while having very few vessels on the beach. Bangladesh remains competitive, with Chattogram indications around USD 500 per LDT for dry bulk and USD 520 per LDT for tankers. Several previously secured vessels were delivered during the latest tide window, while the 27,824 LDT FPSO Glow arrived at Chattogram. However, fresh vessel sales remain limited, meaning recyclers are consuming their existing pipeline faster than owners are replenishing it. The Bangladesh market also continues to deal with the aftermath of the recent tragic recycling-yard accident. Government and environmental authorities are investigating the incident, with operations at the affected facility suspended pending findings, clearances and corrective measures. In India, Alang continues to build momentum through specialist, green, compliance-sensitive and higher-value tonnage. The 18,848 LDT LPG carrier Ble In arrived during the week, while local steel strengthened to around INR 41,000 per ton. India remains behind Pakistan and Bangladesh on conventional ship recycling prices but continues to demonstrate an ability to attract vessels that do not trade purely according to the standard sub-continent price board. The wider shipping market is also influencing recycling supply. The Baltic Dry Index rallied above 3,100, with Capesize markets leading the advance, while healthy Panamax, Supramax and tanker earnings continue to give ageing vessels profitable trading alternatives. For ship recyclers and cash buyers, strong freight remains one of the biggest obstacles to increasing recycling supply. The episode also examines the impact of new U.S. sanctions against Iran, particularly their implications for shipping registries, vessel ownership structures, trading histories, banking exposure and sanctions compliance. For shipowners and cash buyers, the key issue is not simply whether more vessels become recycling candidates, but whether those vessels can be safely, compliantly and commercially transacted. In Turkey, Aliaga recycling prices remain around USD 262 to USD 284 per LDT, while the Turkish Lira continues into record territory above 48 to the U.S. Dollar. Turkey remains focused on EU regulation, Basel Convention compliance and specialist recycling rather than competing directly with South Asian destinations on conventional pricing. This episode explains what these developments mean for shipowners, cash buyers, ship recyclers, shipbrokers, shipping companies and maritime investors, including why strong freight earnings are restricting recycling supply, why executable tonnage is becoming increasingly valuable, and how sanctions and compliance can influence where a vessel can actually be delivered. Key topics covered: global ship recycling market 2026, ship recycling prices, cash buyer market, Pakistan ship recycling, Gadani recycling market, Bangladesh ship recycling, Chattogram recycling market, India ship recycling, Alang recycling market, Turkey ship recycling, Aliaga recycling market, tanker recycling, LPG carrier recycling, FPSO recycling, Iran shipping sanctions, U.S. secondary sanctions, sanctions compliance, vessel ownership structures, Baltic Dry Index, Capesize freight rates, tanker earnings, steel prices, vessel supply, recycling tonnage, green ship recycling and maritime market analysis. For detailed vessel price indications, market rankings, steel prices, port positions and global ship recycling market analysis, access GMS Weekly through the GMS website or mobile app.
