Two Chinese ship recyclers apply for EU approval

Two Chinese ship recycling facilities—Zhoushan Changhong International Ship Recycling Co. Ltd. and Jiangyin Xiagang Changjiang Ship Recycling Yard—have submitted an application to have their ship recycling facilities included in the European Union’s list of sanctioned ship recycling facilities. If the EU approves the two companies’ application they will be the first non-EU applications to meet the criteria.

With a capacity of 1.1 million light displacement metric tons (LDT) and 1.2 million LDT respectively, the Zhoushan and Jiangyin yards are the largest ship recycling facilities in the world.

The U.K.-based ship consulting firm Lloyds Register is working with the two companies to have their application approved.

The official documents for the application were presented at a ceremony at the Berlaymont offices of the European Commission in Brussels by Li Hongwei, owner of Zhoushan Changhong International Ship Recycling Co. Ltd. and Jiangyin Xiagang Changjiang Shiprecycling Yard, Tom Peter Blankestijn of Sea2Cradle and Jim Heath of Lloyds Register. 

Jim Heath, LR’s ship recycling product manager, says, "By inviting LR to provide independent third-party assessment of their ship recycling facility plans, the Zhoushan and Jiangyin yards have not just moved in advance of regulation, they have recognized the importance of attaining independent, reputable certification to help differentiate themselves from the significant number of yards that are unable to demonstrate they operate in accordance with IMO (International Maritime Organization) or EU requirements.”

LR adds that following the completion of site inspections of both facilities, expected to take place in early in 2015, LR will be in a position to provide a certificate of compliance in accordance with both the IMO’s convention on ship recycling (The Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships) and the European Ship Recycling Regulation.

Heath adds that LR fully supports the IMO’s Hong Kong Convention and the principles behind the European Ship Recycling Regulation. “LR believes that ship owners should be able to send their ships to be recycled at facilities that are in compliance with relevant legislation. This can only help to drive further improvements in the shipbreaking industry.”

Under new regulations adopted in November 2013, only facilities on the EU's list will be permitted to recycle ships flying the flag of an EU member state. The rules will come into force by the end of 2016 at the latest.

Li Hongwei, owner of both yards in China, says, “We welcome the initiative of the European Union and invite them to audit and inspect our yards at any given time. We are pleased to improve and invest further to achieve the highest level required.”

Tom Blankestijn of ship recycling facilitator and consultancy firm Sea2Cradle, says, “With the experience of executing close to 100 projects these yards have developed into the best in the world, offering the highest standards on Health Safety and Environment in the industry.

“We are very proud that these are the first yards, also from outside the OECD (Organization for Economic Cooperation and Development), to apply for EU approval,” Blankestijn adds.