Panamax scrapping accelerates to a 6-year high

With the Baltic Panamax Index averaging a 5-year low in Jan–Apr’25, owners are increasingly retiring older tonnage.

Bar and line chart illustrating Panamax demolition activity per year from 2012 to 2025, with a surge in 2025 shown in IG brand colours. The chart, produced by IFCHOR GALBRAITHS, highlights year-to-date figures in grey bars and annual percentage change in a yellow line, showing the highest level of scrapping since 2018.

41% of the 74kt Dwt Panamax fleet (67–80.5kt Dwt) is now over 20 years old, and although demolition prices have eased, they remain relatively firm at around 450 $/LDT. Against this backdrop, Panamax demolition activity has surged, reaching its highest level since 2018, with 10 units scrapped so far this year.

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