Containership scrapping reached historic lows in 2025 as carriers retained older vessels amid strong demand and elevated charter rates.
Containership scrapping fell to record lows in 2025 as carriers held onto older tonnage amid strong demand and high charter rates, reported Fort Lauderdale's Maritime Executive.
Alphaliner stated that only 12 ships, totaling 8,172 TEU, were scrapped last year, with three more sold but not yet demolished. This compares with 95,607 TEU recycled in 2024 and a record 655,000 TEU in 2016. The global fleet now numbers more than 7,500 vessels, with capacity nearing 34 million TEU.
The ships that were scrapped were among the oldest and smallest, aged between 20 to 45 years, with an average age of 30 years. Ten of the 12 vessels were below 1,000 TEU, while the largest was the 45-year-old Horizon Enterprise at 2,400 TEU.
Analysts expect that carriers will eventually dispose of older tonnage to comply with efficiency and environmental regulations. BIMCO forecasts recycling of 750,000 TEU in 2026-2027 but warned that a 1.8 million TEU overhang exists after only 272,000 TEU were recycled in the past five years.
Concerns over oversupply are heightened by a surge in newbuilding orders and expectations that the Suez Canal-Red Sea corridor will reopen, releasing capacity currently diverted around South Africa.
Linerlytica reported that the orderbook at the end of 2025 stood at 1,267 vessels totaling 11.7 million TEU, which is equal to 35 percent of the fleet. Orders rose by 36 percent year-on-year, with 671 ships contracted in 2025.
Evergreen Marine has already added to the backlog in January 2026, ordering 23 feeder ships of 3,100 to 5,900 TEU worth up to US$1.5 billion. Last year, it ordered 14 LNG dual-fuel 1,400 TEU ships and 11 ultra-large vessels of 24,000 TEU. Other carriers, including MSC, have also placed new orders.
