Bimco warns 50% of yards could become idle

Bimco has warned that as many as one in two shipyards could become idle in the coming years, Seatrade Asia online reports. “The clear and present danger to the shipping industry is actually not the ships on order, but rather how to handle the massive shipyard overcapacity post 2014, with the utilization factor dropping from the present close to 100% to 50%,” the shipping body warned in a release.
“The situation can be overcome only if the ship yard overcapacity is not utilized to build more new ships for delivery within the near-term future,” Bimco added.