Abstract
Ship recycling is commonly developed in Asian beaches due to labour cost and legal flexibility. The extraction of steel from ship recycling makes this activity economically viable and must accomplish with the labour and environmental requirements. In that way, the local steel scrap market in Brazil presented a deficit of at least 3.0 million / tons in the last 8 years while not meeting the demand of the local steel and smelting industries. In this line, we considered the economic potential for developed ship recycling in Brazilian shipyards, finding an opportunity to meet local demand for steel scrap of 3.0 million/year - and international demand of 370,000 tons/year, both means between 2007 and 2017. Finally, we found that there is an opportunity to implement ship recycling activity in Brazilian shipyards for the extraction of steel scrap from the local ship fleet with a market value of US$ 587,51 million. After considering the premise of serving neighbouring Latin American ship fleets, the volume of steel scrap and market value increase to US$ 19,94. This scenario could promote an attractive business and the rotation of the assets for local shipyards.
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