Global Ship Recycling Enters New Era as Long-Awaited Hong Kong Convention Takes Effect

Image Credit: International Maritime Organisation

After nearly twenty years in the making, a major moment has arrived for the maritime world. As of June 26, 2025, the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships, commonly known as the Hong Kong Convention, has officially come into effect. This marks a pivotal shift in how the global shipping industry handles the end-of-life process for vessels, aiming to bring structure and accountability to a sector long criticised for its environmental and human costs.

Originally adopted back in May 2009 at a Diplomatic Conference in Hong Kong, the Convention had to meet several specific benchmarks before it could enter into force. These included ratification by at least 15 countries that together represent no less than 40 per cent of the world’s merchant shipping by gross tonnage, along with a combined ship recycling capacity of at least 3 per cent of that total. Those conditions were finally met in June 2023. As of today, 24 nations have formally joined the agreement.

This includes shipping heavyweights like Japan, Panama, Liberia, and the Marshall Islands, as well as four of the world’s most active ship recycling countries—Bangladesh, India, Pakistan, and Türkiye. Altogether, these parties account for over 57 per cent of the world’s shipping tonnage.

What makes this Convention significant is its comprehensive, cradle-to-grave approach. It addresses not just how ships are dismantled, but also the materials used in building them and the responsibilities of all stakeholders involved, from ship owners and recycling yards to national governments. It bans or restricts certain hazardous substances from being used in ships, requires vessels to carry a detailed Inventory of Hazardous Materials, and obliges recycling facilities to submit ship-specific recycling plans. Certification, compliance, and enforcement mechanisms are also spelt out clearly.

Under the new rules, any ship headed for dismantling must carry an updated record of the hazardous materials onboard. Authorised recycling yards must then create a tailored Ship Recycling Plan before taking the ship apart. It’s up to national governments to make sure these facilities are playing by the rules.

Industry bodies have welcomed the development. Thomas A. Kazakos, Secretary General of the International Chamber of Shipping, commented: “Today marks a welcome and historical development after two decades of work on the issue. Now that the Hong Kong Convention has entered into force, we can look forward to even more progress in improving ship recycling around the world.”

Sotiris Raptis, Secretary General of European Shipowners | ECSA, added: “The entry into force of the Hong Kong Convention is a milestone for our industry. It sends a strong signal that multilateral cooperation in IMO can and should continue to deliver”.

However, not all stakeholders share this enthusiasm. The NGO Shipbreaking Platform has criticised the Convention for failing to address what they describe as environmental injustice and human rights violations in the industry. Their primary concern is that the Convention does not prevent “beaching”, the dismantling of end-of-life vessels on tidal mudflats, as practised in countries like Bangladesh, India, and Pakistan.

Ingvild Jenssen, Executive Director and Founder of NGO Shipbreaking Platform stated: “The shipping industry cannot settle with a Convention designed to accommodate industry worst practice. Beaching should be phased out, not endorsed.”

However, not everyone is celebrating. The NGO Shipbreaking Platform, a well-known watchdog in this space, has voiced strong concerns. They argue that the Convention doesn’t go far enough to prevent what they call environmental injustice and labour exploitation. One of their key criticisms is that the Convention does not ban "beaching," a common practice in South Asia where ships are broken apart directly on tidal mudflats, often with devastating consequences for both workers and ecosystems. The group also points to a lack of enforcement power, weak labour protections, and no clear accountability for downstream waste handling.

To help bridge the gap between ambition and execution, the International Maritime Organisation has been supporting developing nations through its Safe and Environmentally Sound Ship Recycling (SENSREC) project. This initiative provides everything from policy guidance to hands-on training and is currently active in countries like Bangladesh and Pakistan, where the majority of the world’s ship recycling takes place.

In parallel, industry groups are stepping in to help push things forward. Last November, global shipping association BIMCO launched a Ship Recycling Alliance aimed at fast-tracking safe practices across the sector.

With more than 15,000 ships expected to be decommissioned in the next ten years, the need for scalable, compliant recycling infrastructure is more urgent than ever. As the Convention takes hold, the shipping industry now faces a critical test: Can it align ambition with action? Can it ensure that regulation leads to real-world change?