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Gadani shipbreaking resumes after eight years as seven vessels arrive for dismantling

Nine of 16 yards upgraded to global standards; sector could meet 30% of Pakistan’s steel scrap demand at full capacity

Monitoring Report

Monitoring Report

July 16, 2026

1 min read
Gadani shipbreaking resumes after eight years as seven vessels arrive for dismantling

Ship recycling has resumed at the Gadani Ship Breaking Yard after an eight-year pause, with seven vessels arriving for dismantling. The revival has been supported by the National Logistics Corporation, a member of the Maritime Task Force, along with other government agencies.

The government has granted formal industrial status to the sector and is upgrading facilities to meet International Maritime Organisation standards and the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships.

Of Gadani’s 16 ship recycling yards, nine have already been upgraded in line with the convention. The remaining seven are under inspection and approval.

Authorities also plan to establish a Treatment, Storage and Disposal facility at Gadani for the safe handling of hazardous waste generated during dismantling operations.

Officials said the facility would help protect the coastal environment and marine life.

Each recycled ship is expected to contribute around $25 million to the economy.

At full capacity, Gadani could meet nearly 30% of Pakistan’s steel scrap requirement, reducing dependence on imported scrap. The resumption of operations is also expected to create thousands of jobs and support activity in the steel, maritime and manufacturing sectors.


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