Short, regular notes on freight rates, bunker prices and events shaping the shipping market — curated by our chartering desk.
Traffic through the Strait of Hormuz has collapsed to roughly 5 vessels a day, down from a normal 85–100, with remaining transits moving only under naval escort. Renewed U.S. strikes on Iranian targets and Iranian attacks on commercial shipping — including at least 13 vessels hit in August, with the tanker MT Sidr suffering two crew fatalities — have pushed crude flows through the strait down to around 2.2 million barrels per day. Owners and charterers should expect continued war-risk premiums, escort delays and route diversions until the situation stabilizes.
Tanker freight rates in the Persian Gulf have surged to unprecedented levels this month, with daily charter rates for crude pickups in the Gulf briefly exceeding $1 million as the ongoing Strait of Hormuz disruption keeps many vessel operators away from the region. Owners with vessels willing to trade in the region are seeing strong returns; charterers should expect longer lead times and firmer offers.
Fujairah sold 225,767 m³ of marine fuel in August, down 65.3% year-on-year and 2.6% from July, as the ongoing Strait of Hormuz disruption continues to weigh on regional bunker demand. First-eight-month sales are down 57.3% year-on-year to 2.12 million m³, versus 4.96 million m³ in the same period last year. VLSFO sales rose 4% month-on-month to 149,202 m³ but remained 64.7% below last year's level, while HSFO demand fell sharply. Fujairah's average VLSFO price climbed to $807.5/mt in August, up from $762.5/mt in July and $498/mt a year earlier — see our live Bunker Prices page for current port-by-port rates.
Fujairah VLSFO prices remained elevated this week alongside firmer crude, while other Gulf benchmarks saw modest movement. See our live Bunker Prices page for current port-by-port rates across the Gulf and Gulf of Oman.
Panamax and Supramax rates held firm this week as the Northern Hemisphere grain export season picks up pace. Charterers moving grain cargoes should book early as vessel positioning tightens into Q4.
