The NGO Shipbreaking Platform, Recycling Europe, and EUROFER publish a joint statement calling the EU for a recognition of the strategic importance of the European ship recycling sector. The signing parties highlight the numerous benefits of ship recycling for the European steel market in light of circularity and the green transition towards low-carbon production methods, and outline concrete policy actions needed to unlock its full potential.

Why ship recycling matters:
• an aging global fleet – studies forecast a five fold increase in end of life (EoL) vessels by 2033;
• material recovery – between 70 % and 95 % of a ship’s weight can be reclaimed as high quality scrap, supplying the steel industry with a substantial secondary raw material stream;
• the EU stake – companies based in the EU and EFTA own about one third of the world’s fleet, placing the continent in a pivotal position to steer the transition.

The NGO Shipbreaking Platform recently published a thorough report on the role of scrap steel from end-of-life ships in the decarbonisation efforts of the European steel industry. The report suggested several policy changes that could increase access to high quality secondary steel from the maritime sector.

Now joined by the European recycling and steel sectors, we call on the European Commission to adopt effective measures to increase capacity in the EU to recycle the many ships that will head for scrap in the coming years.

In order to keep the valuable steel in the European market, and therefore contribute to strategic material autonomy, the signing parties call the European Commission for:
• Closing the re-flagging loophole in the EU Ship Recycling Regulation by enlarging its scope to the real owners of vessels;
• A true level playing field: only fully compliant yards approved;
• Investment & financing to scale EU ship recycling capacity;
• Transparency from shipowners on fleet retirement plans;
• Recognition of ship recycling in the upcoming Circular Economy Act.

By keeping valuable steel within the EU, the proposed actions will:
• accelerate decarbonisation – each tonne of recycled ferrous scrap avoids roughly 1.6 t CO₂ (carbon steel) or 5 t CO₂ (stainless steel) compared with primary production;
• strengthen strategic material autonomy – reduces reliance on imported iron ore and coal, shortening supply chains;
• create green employment – modern ship recycling yards and green steel sector generate jobs in engineering, environmental management and advanced manufacturing;
• uphold Europe’s leadership – reinforces the EU as a front runner in environmental stewardship, worker safety and circular economy policy.

Bringing back ship recycling to the EU is also a question of environmental justice as ships contain many hazardous materials of which the export to South Asian beaches is prohibited by international law. The EU should take responsibility for its ships and ensure their safe and environmentally sound recycling. Strengthening the domestic ship recycling sector will contribute to the EU’s circularity objectives, its strategic material autonomy, while creating green jobs in synergy with the steel market.
Source: NGO Shipbreaking Platform