Matson Agrees to Stop Beaching Its Ships

New York-listed shipping company Matson, Inc. (MATX) agreed to prohibit scrapping its vessels on the beaches of India, Bangladesh and Pakistan in the future following calls from environmental organizations to stop dismantling ships at South Asian beaching yards.

“While the decision does not address the Horizon Trader – an old Matson vessel now on its way to India, it is significant, as 23 vessels in the Matson fleet will require scrapping in the next few years,” the environmental justice organization Basel Action Network (BAN) commented.

The Horizon Trader, a 42 year-old US flagged container ship was acquired by Matson when they purchased Horizon Lines late last year. A decision was then made to scrap the vessel and it was delivered to the All Star Metals ship recycling facility in Brownsville, Texas in January 2015.

The U.S. Maritime Administration (MARAD) and the U.S. Environmental Protection Agency (EPA) confirmed to BAN that the Horizon Trader was authorized for export to the shipbreaking yards in India, despite initial agreement that stipulated that the buyer would responsibly recycle the vessel in the U.S.

BAN said that it notified Matson and asked the company to recall the ship, and while they claimed they no longer had the authority to recall the ship, they released the following statement:

Because of concerns with recycling practices in South Asia, Matson has decided to expressly prohibit recycling of its vessels in this region going forward.

Meanwhile, BAN and the NGO Shipbreaking Platform in Brussels, called on All Star Metals of Brownsville, Texas, the last holder of Horizon Trader, to return the ship to the U.S. for proper recycling in their Brownsville ship recycling yard.

The U.S. government requires its own ships to be recycled domestically and off the beaches, but it allows private ship-owners to legally re-flag their vessels for disposal on foreign shipbreaking beaches.

While the export may be legal according to U.S. law, it outsources pollution and U.S. jobs to Asia,” said Colby Self, the Green Ship Recycling Director at BAN.

It is highly irresponsible. We ask All Star Metals as a U.S. ship recycling company purporting to be a green ship recycler, to turn the Horizon Trader back to Texas for proper recycling.

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Shipbreaking practices in India, Pakistan, and Bangladesh operate under dangerous and polluting conditions. Workers labor on tidal sands to cut ships by hand, breathe in toxic fumes and asbestos, and fall victim to explosions and accidental crushing.

According to the International Federation for Human Rights (FIDH), up to 20% of the shipbreaking workforce in Bangladesh are children under the age of 15. Just last week there was an accident on the notorious shipbreaking beach at Chittagong that killed 4 workers. 5 workers were killed in July, adding up to a reported 9 deaths in less than two months, and over 200 deaths documented over the past 5 years.

While we regret that one more U.S. ship is likely to end up on the killing beaches of South Asia, we recognize the important commitment Matson has made for future recycling contracts,” said Self.

Ship owners today can no longer claim ignorance. They know very well the environmental and human health impacts of their ship recycling decisions, which for too long have been ignored to maximize profits. Matson’s off-the-beach commitment reflects a level of corporate leadership which we hope will be echoed by other U.S. shipping companies.

Images: BAN; NGO Shipbreaking Platform