EU Says Owners “Significantly Undermining” Recycling Regs by Flag Switches

A decade after the European Union first adopted its ship recycling regulation to address concerns over environmental issues, it issued a new evaluation of the regulations highlighting shortcomings. Overall, it concludes the regulation is effective, but finds shipowners continue to “flag hop” incentivized by additional revenue from selling end-of-life ships.

The commission evaluated the framework ahead of the June 2025 entry into force of the Hong Kong Convention ratified by UN members in 2024 to provide a global framework for recycling and the treatment of environmental concerns. The EU was also reviewing the list of companies authorized…