Hormuz Tanker Traffic Crashes to New Lows Amid War Risks

The Strait of Hormuz saw its lowest number of oil tanker crossings since May 7 this week, as war risks in the region spiked. Only one tanker, the New Giant, transited through the strait on Thursday, carrying about 2 million barrels of Basrah crude from Iraq to China's Rizhao port.

Wednesday saw three tankers pass through, but traffic plummeted to just one on Thursday. No tankers made an inbound transit into the Persian Gulf that day. The low traffic is a concern for oil supply, as some tankers have turned north in the Red Sea towards the Suez Canal to avoid being targeted by the Houthis.

Aramco has begun offering crude loadings at Sidi Kerir in Egypt, which can help reroute shipments away from Hormuz. However, this may increase delivery times and costs for energy commodities destined for Asia.