Scrap value

The demolition value of a ship, the price a cash buyer or breaking yard pays for the vessel as steel and equipment, conventionally quoted in US dollars per lightweight tonne (LDT). It sets the floor under a ship’s market value and the residual in an investment appraisal. Recycling prices track regional steel demand and the breaking markets of the Indian subcontinent, where most large-tonnage demolition occurs under the Hong Kong Convention regime.