The 30th Interim Meeting of the ASA Ship Recycling Committee (SRC) was held online on 22 October 2026. The SRC members are firmly committed to ensuring full compliance with all applicable competition laws throughout the entire programme.

Since the HKC entered into force on 26 June 2025, the global ship recycling landscape has continued to evolve. In 2026, the market remained subdued, with demolition volumes staying low as resilient freight market conditions encouraged shipowners to retain older vessels, while the global fleet continued to age.

Tankers and bulkers accounted for most of the recycling potential, while container recycling remained limited; the recycling of sanctioned tonnage also emerged as a notable feature. The HKC is expected to facilitate the gradual phase-out of old vessels in the coming years, with steady progress being made in IHM preparation and maintenance. Meanwhile, Pakistan inaugurated its first HKCcertified ship recycling facility in 2026. Yet challenges remain, including limited HKC ratification by major flag States, limited compliance capacity among SMEs, and inconsistencies between regional regulatory standards and the HKC.

The meeting confirmed phased progress in aligning the Basel Convention (BC) and the EU Ship Recycling Regulation (EU-SRR) with the HKC: BC COP17 confirmed that BC-HKC interplay will be examined by an OEWG over the next two years for further consideration at COP18; differences among Parties on the overlapping application remained unresolved at OEWG-15, and discussions on IMO–BC cooperation to avoid rule conflicts will continue towards COP18 in April 2027. The ASA SRC reaffirmed its core position: upholding an IMO-led global unified regulatory framework, opposing regional or fragmented rules, and advocating for the BC and EU-SRR to be aligned with the HKC as the benchmark, with a view to establishing the HKC as the universally accepted global convention and the sole framework governing ship recycling. The HKC is currently in its Evidence/Experience Building Phase (EBP), with a review of the Convention expected to be considered in due course, primarily through the IMO’s Sub- Committee on Pollution Prevention and Response (PPR). In undertaking this review, due consideration should be given to the practical capabilities of recycling facilities in South Asia, to ensure that any proposed amendments remain realistic and practicable for their implementation.

To expand HKC ratification and foster a fair market, the ASA SRC agreed on key follow-up actions:

1. Promote the preferential use of HKC-certified yards, urge full implementation of the HKC in Asia and call for more global ratifications

2. Support the IMO provisional guidance and IMO-BC cooperation, confirming that the HKC governs ships intended for recycling at HKC-authorised facilities, so as to achieve legal clarity and avoid duplicative or conflicting procedures; and push for full alignment of the EU-SRR with the HKC on implementation standards, in order to maintain the HKC as the core global benchmark

3. Leverage Asian shipowners’ collective strength to contribute to global environmental conservation and the green circular developments of the shipping industry.

The ASA SRC will continue to strengthen coordination among Asian shipowners, track industry developments, participate in international rule-making, and strive to build a fair, standardized and green global ship recycling market.