Time running out for vintage vehicle carriers
- Vehicle carrier recycling should accelerate this year as more large dual-fuel newbuildings enter service and older ships lose competitiveness, especially if Asia-Europe trades return to the Red Sea and Suez Canal route
- Record PCTC deliveries in 2025 and a heavy pipeline through 2028 are rapidly expanding effective capacity, while scrapping has remained minimal due to strong demand from Chinese vehicle exports, Cape of Good Hope diversions and port congestion
- Around 140 PCTCs still in operation are more than 25 years old, including 30 over 30
Without a meaningful rise in vessel demolition, excess capacity will weigh on the sector as fleet growth outpaces underlying vehicle trade demand
