The Kabul Tribune (KT) — Oil tanker rates in the Gulf region have nearly doubled this week as Middle Eastern producers ramp up exports and demand for shipping capacity surges, Reuters reported.
Shipping data and industry sources show that hire costs for tankers passing through the Strait of Hormuz and the wider Gulf have spiked sharply as traffic gradually resumes following recent disruptions.
Traffic through the strategic waterway has remained below normal levels since Iran lifted its effective blockade last week after agreeing to a 60-day ceasefire with the United States. Before the conflict began on Feb. 28, about 125 vessels passed through the strait daily, but current volumes remain significantly lower.
Market estimates indicate that up to 100 tankers are still stranded in the Gulf with cargo onboard, contributing to a shortage of available vessels as crude exporters increase shipments.
Daily charter rates for tankers outside the Strait of Hormuz have jumped to about $190,500, up from $106,500 a week earlier. Earnings for very large crude carriers (VLCCs) transporting oil through the strait have reached nearly $470,000 per day, a record high.
Ship broker Clarksons said tanker owners are preparing for a surge in Middle Eastern crude shipments, noting that supply remains tight and could tighten further if traffic through Hormuz fully resumes.
Major producers, including Abu Dhabi National Oil Company, have issued multiple tenders this month, encouraging buyers to load cargo directly from Gulf terminals, further boosting demand for tankers.
While shipping rates have risen, war-risk insurance costs have declined in recent days to around 3% of a vessel’s value, down from about 5% a week earlier, reducing overall operating expenses.
The surge in tanker demand comes as global buyers, including Indian refiners such as Reliance Industries, seek to secure crude supplies after months of disruptions caused by regional tensions.
The developments highlight the continuing impact of geopolitical tensions in the Middle East on global energy markets, shipping costs and oil prices.
