Crude earnings ease in the Atlantic while Panama Canal restrictions push gas transit costs to a record.

Tankers: Crude rates remain high as the Atlantic cools

VLCC earnings held near $230,000 per day in the week to 28 August, while Suezmax and Aframax earnings settled at approximately $179,000 and $100,000 per day. Atlantic rates eased as vessel availability increased, while Eastern markets remained firm as Hormuz keeps Middle East tonnage scarce. Pacific ballasters are up 15% since 9 August, and one-year VLCC charter rates stand at $134,750 per day. Further Atlantic easing is likely if cargo volumes remain low, but growing ship-to-ship activity would support Eastern rates.

LPG/VLGC: Record Panama slot highlights tightening US Gulf to Asia trade

Houston to Chiba earnings held near $155,000 per day, while the twelve-month charter rate for a modern 84,000 cbm vessel rose 15% from July to $69,865 per day. SK Gas paid a record $5.3 million for a Panama Canal slot on 26 August, versus an average of approximately $55,000 before February. With daily transits falling to 32 by mid-September, owners are taking longer Cape routes or using smaller vessels. Further capacity cuts would tighten the effective fleet, while a Hormuz reopening could reduce canal demand.

PCTC: Charter rates reach $85,000 as Chinese exports grow

Six to twelve-month rates for a 6,500 CEU vessel reached $85,000 per day in August, up from $65,000 in May and $49,375 in 2025. Chinese brands took 11.2% of the European new car market in July, up from 5.6% a year earlier, while Toyota exports rose 10.2% year on year. With the orderbook at 18.2% of the fleet but deliveries largely delayed until 2029, supply remains tight. Continued export growth should support rates despite rising trade policy risks.

Geopolitics: Hormuz corridor talks offer a potential turning point

Iran and Oman discussed a temporary shipping corridor through Hormuz on 25 August, while the US threatened further sanctions on entities doing business with Iran. Only five commodity vessels transited the strait on 25 August, against a ten-day average of 15, although ship-to-ship transfers have restored effective flows to approximately 7 million barrels per day. Brent fell 5.3% during the week to approximately $89 per barrel as markets priced partial de-escalation. A working corridor would reduce voyage distances and crude earnings, while continued closure would preserve the current routing premium.

Sources: Automotive News, Bloomberg, Clarksons Research, CNBC, gCaptain, Kpler, MB Shipbrokers, Panama Canal Authority & Reuters