Suezmax earnings have averaged above VLCC levels in 2026 as growing Atlantic crude exports favour smaller cargo parcels and vessel availability remains tight. Suezmax earnings have outperformed VLCCs throughout 2026 Suezmax earnings rose 15% week over week to approximately $238,000 per day, matching VLCC earnings despite carrying roughly half the cargo. The strength extends beyond the current week. Suezmax earnings have averaged approximately $163,000 per day in 2026, compared with approximately $159,000 per day for VLCCs. This marks a change

Limited availability of prompt tonnage is pushing buyers to pay a premium for ships that can trade today, while newbuildings ordered now will not deliver until 2029. Delivery timing is driving a widening premium for modern tonnageSecondhand crude tanker values have risen above newbuilding prices, reflecting the scarcity of vessels available to trade immediately. A five-year-old Suezmax is now valued at approximately USD 108m, around USD 18m above a newbuilding at approximately USD 90m. For Aframaxes, the premium is approximately

Iran has set conditions for reopening that Washington has rejected, keeping Gulf crude exports constrained and tanker earnings elevated. Reopening remains dependent on conditions Washington has rejectedIran’s lead negotiator has stated that the Strait of Hormuz will remain closed until the United States lifts its naval blockade, removes oil sanctions and ends military operations. President Trump has said that no negotiations are currently taking place, leaving the situation at a standstill. Traffic through the waterway has fallen further in recent

Disrupted Middle East loadings are shifting crude demand towards the Atlantic, while constraints in the Panama Canal and limited PCTC supply continue to support rates. Tankers: Suezmax earnings rise to above $200,000 per day as crude demand shifts to the AtlanticSuezmax earnings rose 13% to above $200,000 per day, the highest level this year, driven by increased activity in the Atlantic rather than the Middle East. With Persian Gulf loadings blocked, refiners are sourcing crude from West Africa, the Americas

The East-West pipeline is becoming increasingly important to Saudi Arabia’s crude export system as more volumes are shipped from the country’s west coast. Saudi Arabia is increasingly transporting crude through the East-West pipeline to the export terminal at Yanbu on the country’s west coast. From there, crude can be shipped via the Red Sea to international markets without passing through the Strait of Hormuz. This alternative export route has become increasingly important as traffic through Hormuz remains heavily constrained. Only

The East-West pipeline is becoming increasingly important to Saudi Arabia’s crude export system as more volumes are shipped from the country’s west coast. Saudi Arabia is increasingly transporting crude through the East-West pipeline to the export terminal at Yanbu on the country’s west coast. From there, crude can be shipped via the Red Sea to international markets without passing through the Strait of Hormuz. This alternative export route has become increasingly important as traffic through Hormuz remains heavily constrained. Only

Tanker and gas markets remain supported by constrained trade routes and limited prompt tonnage, while geopolitical disruption continues to reshape vessel availability Tankers: Suezmax rates surge as Atlantic tonnage tightens Crude tanker markets remained exceptionally strong this week, with Suezmaxes taking the lead as Atlantic availability tightened. Average Suezmax rates increased 13% to above $200,000/day, while West Africa–UKC rates surged as owners maintained pressure against a tightening position list. VLCC rates remained broadly unchanged at approximately $180,000/day, although firmer rates

A deal between the two nations has been reached in principle that partially reopens the Strait of Hormuz Iran and Oman have spent the past month negotiating new vessel traffic arrangements for the Strait of Hormuz, the world’s most important oil shipping corridor. This week, Iran said the two countries had reached an agreement in principle covering almost all outstanding issues, including new entry and exit routes for maritime traffic. Iranian officials stressed that the framework does not amount to

Aramco assesses that global oil stocks require 18 months to replenish Aramco quantifies a restocking requirement that starts only once the strait reopensAramco’s CEO stated this week that global oil inventories would take up to 18 months to rebuild even if the Strait of Hormuz reopened immediately. More than 2.6 billion barrels have been lost to global supply chains and replacing them at an average supply rate of 2.1 million barrels per day sets that timeline. Aramco has also increased

Shipping markets are increasingly pricing route security rather than cargo volumes, as operators adapt faster than supply chains are disrupted Tankers: Crude earnings extend gains as trade disruptions, not cargo volumes, sets the market The crude tanker market is increasingly priced on where cargoes can safely load and how far they must sail, rather than on how much oil moves. Saudi barrels displaced from the Persian Gulf are leaving through Yanbu on the Red Sea, and owners willing to transit