The International Association of Independent Tanker Owners (Intertanko), Oslo, reports 64 crude oil tankers totaling 7.9 million dwt were delivered in 1993 to the end of July.
That compares with 75 tankers scrapped during the same period, with a combined 7.6 million dwt.
"Scrapping has come to a halt," Intertanko said. "China, the main breaker, has been reported to have problems financing more purchases."
Intertanko said China scrapped 29 vessels this year, with Bangladesh having scrapped 14, Pakistan 9, India 13, and other countries 10. Thailand entered the market by buying its first very large crude carrier (VLCC) for scrap.
Of the 202 tankers on order in July, 95 were double hull vessels. This means single hull tankers dominate the market, at least for vessels of more than 135,000 dwt.
Meanwhile, Viet Nam started its first scrapping project, the Da Nang Shipbreaking & Steel Co. at the port of Ky-Ha. The company will start by demolishing medium sized vessels of 90,000-175,000 dwt.
After a 7 month trial period, Intertanko said, the yard will scrap four VLCCs/year of more than 175,000 dwt, rising to seven or eight/year. The project is being overseen by Hitachi Zosen Corp.
Intertanko also said it has put pressure on the governments of Philippines and Romania to start tanker scrapping operations.
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