Lower fleet efficiency and longer voyages continue to support freight rates across energy shipping.

Tankers: Suezmax earnings reach record levels as period rates strengthen

Crude tanker earnings rose sharply last week, with Suezmax earnings reaching more than $340,000/day, according to Clarksons. Lower fleet efficiency remains the main driver, as longer voyages and ship-to-ship transfers keep vessels occupied for longer. The strength is also visible in the period market, with one-year rates above $100,000/day for Suezmax and $70,000/day for Aframax, well above 2025 averages. With limited newbuilding deliveries before 2028, constrained fleet growth provides a supportive backdrop for earnings if current demand conditions persist.

LPG/VLGC: Period rates rise as Panama congestion tightens availability

VLGC earnings on the Houston-Chiba route remained near $163,000/day last week, supported by congestion in the Panama Canal, where around 5% of the VLGC fleet was waiting to transit compared with around 2% in August. One-year timecharter rates for modern 84,000 cbm VLGCs rose to around $80,000/day, 17% above the August average. Spot rates could ease if Panama congestion improves, while the large orderbook remains the key medium-term factor for fleet supply.

PCTC: Period rates remain firm as new ordering accelerates

Timecharter rates for a 6,500 CEU PCTC remained around $85,000/day in September, around 30% higher than three months ago. The segment has limited direct exposure to the current Middle East disruption, while owners are responding to firm rates with 88 Ro-Ro and car carriers contracted so far in 2026, compared with 17 during all of 2025. Most new vessels are scheduled for delivery from 2028 onwards, limiting the immediate impact of this ordering on fleet supply.

Geopolitics: Potential Hormuz agreement could reduce shipping disruptions

Shipping activity through the Strait of Hormuz remains heavily disrupted, while crude continues to move through alternative arrangements and ship-to-ship transfers. MB Shipbrokers reports that Iran and Oman are nearing an agreement on a temporary safe route through Hormuz, which could reduce waiting times and ship-to-ship transfers if implemented. This would improve fleet efficiency and remove some of the current support for tanker freight rates, while continued disruption around the Bab el-Mandeb remains an additional risk to Middle East-Asia trade.

Sources: Clarksons Research, MB Shipbrokers