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ICS: Competing interests could make it difficult to scrap ships

It would be best for the sector as a whole if more carriers sent ships to be scrapped. But it does not always make sense for the individual carrier, and as such, it could become difficult to get rid of the current overcapacity, notes the  International Chamber of Shipping in new report.

Photo: IMO

The global shipping sector finds itself in a tight spot in which the carriers' own interests could end up detrimental to the common good.

On the one hand, the market would benefit greatly if carriers opted to recycle more vessels. On the other hand, it makes sense for the individual carrier to keep a ship on the water if the loan has been paid off and the vessel turns a profit.

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