by bhale849 » August 28, 2010, 6:44 pm
Many Canadian Lakers are in long-term layup, and there is speculation that many are destined for the scrapyard. Yet (some of which have been in layup for 2 years), they continue to stick around. I believe this is for 2 reasons: 1) Scrap prices are very low at $140 US per ton. 2) The main reason, however, is because Ottawa has not decided yet whether or not to rescind the Tariff on ships built outside of Canada. If Ottawa eliminates the Tariff -those layups can be scrapped to be replaced by new, cheaper ships (probably built in China - Algoma Central, ULS, and Canada Steamship already seem fond of their yards). If the Tariff is retained, many of those ships (except the truly worn-out ones like the Saunier, Algonorth, Agawa Canyon, and Canadian Leader will recieve repairs or re-engining and go back into service. Note that the Gordon C. Leitch, and the Canadian Prospector, both long-term layups said to be destined for scrap, are being put back into service.
Many Canadian Lakers are in long-term layup, and there is speculation that many are destined for the scrapyard. Yet (some of which have been in layup for 2 years), they continue to stick around. I believe this is for 2 reasons: 1) Scrap prices are very low at $140 US per ton. 2) The main reason, however, is because Ottawa has not decided yet whether or not to rescind the Tariff on ships built outside of Canada. If Ottawa eliminates the Tariff -those layups can be scrapped to be replaced by new, cheaper ships (probably built in China - Algoma Central, ULS, and Canada Steamship already seem fond of their yards). If the Tariff is retained, many of those ships (except the truly worn-out ones like the [i]Saunier, Algonorth, Agawa Canyon,[/i] and [i]Canadian Leader[/i] will recieve repairs or re-engining and go back into service. Note that the [i]Gordon C. Leitch[/i], and the [i]Canadian Prospector[/i], both long-term layups said to be destined for scrap, are being put back into service.