Bangladesh has been playing the role of a pioneer in the ship recycling industry for the last two decades. Nearly all South Asian countries have taken advantage of cheap labour, but only Bangladesh has experienced significant growth in this sector. This sector has been a substantial contributor to the local steel and related industries. Besides supplying raw materials, it has also provided employment support to the uneducated people living near the yards. As a recycling industry, it has salvaged enough reusable materials each year, thereby supporting the circular economy. However, the industry faces challenges such as poor infrastructure and conventional recycling methods, which have adverse effects on both the environment and safety. The current study utilises a comprehensive SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis to assess the current state of Bangladesh’s ship recycling industry. Strengths of this include cheap labour, advantageous geographic location, and the capability of handling large ships. At the same time, weaknesses such as underdeveloped infrastructure, a lack of trained workers, and inadequate waste management hinder progress. In this darkness of weaknesses, opportunities shed bright light. Opportunities, such as the potential for reforming regulations and technologies, increasing demand for recycled materials, and global collaboration, show promise for a transformed industry. At the same time, existing threats like strict regulations, political issues, and increasing international competition can also create a risk of destabilising the industry. Based on the SWOT investigation, this paper successfully provided recommendations. These recommendations are expected to lead the industry towards sustainable growth.
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