Machinery damage increasingly taking toll on ‘silver tsunami’ of older ships

Machinery damage is on the rise as shipping adapts to a “silver tsunami” of ageing tonnage.

The Nordic Association of Marine Insurers (Cefor) has released its latest annual edition of hull trends, which looks at the impact of the global merchant fleet getting older and older, dubbed the “silver tsunami” in a presentation yesterday, as well as the noticeable rise in fire incidents.

“Machinery damage showed a substantial increase in recent years, which should be seen in the context of an ageing fleet. Among the largest losses, fires and collisions dominate, with 2023 and 2024 being the first years after a benign ten-year period,” said Cefor analyst Astrid Seltmann.

The global merchant fleet is getting older and older, as owners hold off renewing their vessels while waiting for greater clarity on future fuels.

As of the end of January, 13% of the total bulk carrier fleet was aged 21 years old or older, a 12% increase compared to the similar period of 2024, according to data from Xclusiv Shipbrokers. The 16 to 20-year-old age dry bulk group accounted for 16% of the total bulk carrier fleet by late January, a huge 29% increase compared to January 2024.

The vintage state of the tanker market is even more severe with Xclusiv data showing 18% of the total tanker fleet is now aged 21 years old or older, also a 12% increase compared to the same period in 2024. The 16 to 20-year-old tanker age group constitutes 29% of the total tanker fleet, reflecting a 13% increase from January 2024.