NYK successfully completes shipbreaking (dismantling) in Bangladesh
The heavy lifter KAMO Vessl owned by NYK Bulk Project Co., Ltd., a NYK Group company, docked at the PHP Ship Recycling Facility in Bangladesh in March this year. NYK has successfully completed dismantlement. It is the first time for a Japanese shipping company to dismantle at a yard that meets the standards of the Ship Recycling Convention (Note 1) in the country.
KAMO being scrapped at the PHP yard
The PHP yard meets the standards of the Ship Recycling Convention and is operated by PHP Ship Breaking and Recycling Industries Ltd., which has received our certification (Note 2).
For the dismantling of the ship, in addition to supervisors from the ship management company, maritime experts and engineers are also dispatched from MOL to manage hazardous substances such as fuel oil and comply with safety procedures for dismantling work. Completely disassembled. In addition, human rights due diligence (Note 4) is implemented by a third-party organization in accordance with the “Guiding Principles on Business and Human Rights” (UNGPs (Note 3)), and appropriate scrapping is carried out from the perspective of human rights protection. I also confirmed that
Ship scrapping sites are concentrated in emerging countries such as Bangladesh and India, where labor costs are low, and the existence of scrapping yards with problems in safety management and hazardous substance management has been viewed as an international problem. Since Bangladesh ratified the convention on June 26, 2016 and decided to put the Ship Recycling Convention into effect, future progress toward resolving these issues is expected.
NYK has also participated in the monitoring research project committee for scrapping yards in the country implemented by the Japanese government, and have been working to improve safety and health management and environmental pollution countermeasures in the ship recycling industry.
In addition, on July 3, we added two new scrapping yards in Bangladesh as NYKs' certified yards. Going forward, the company will continue to promote environmental measures, worker health and safety management, and human rights protection in the country, while also leading efforts to dismantle the shipping industry.
The NYK Group has implemented a medium-term management plan “Sail Green, Drive Transformations 2026 - A Passion for Planetary Wellbeing -” was announced on March 10, 2023. With the corporate philosophy of “Bringing value to life.” Through growth, we will co-create the value we need for the future.” We will promote growth strategies centered on ESG.
(Note 1) Ship Recycling Convention
A convention adopted by the International Maritime Organization in May 2009 for the purpose of ensuring occupational safety and protecting the environment when dismantling ships. 1) Ratification by 15 or more countries; 2) The total amount of merchant shipping tonnage of the contracting parties is 40% or more; is a necessary condition, and it was decided to enter into force on June 26, 2025 with Bangladesh's ratification on June 26. As of June 2023, 22 countries, including Japan, India and Bangladesh, have ratified it.
(Note 2) Our company's certification
This certification is given to yards that meet our company's standards regarding environmental protection, worker health and safety management, and respect for human rights.
(Note 3) Guiding Principles on Business and Human Rights The
United Nations Principles clarified in 2011 that along with the obligation of states to protect human rights, companies also have a responsibility to respect human rights.
(Note 4) Human rights due diligence
The process of analyzing and evaluating risks to human rights and taking appropriate measures.