Supertankers Flood Global Markets as US-Iran War Redraws Trade Routes
The global supertanker market is experiencing a buying spree worth over $20 billion as shipowners order more than twice as many Very Large Crude Carriers (VLCCs) this year as in all of 2025. According to data from Signal Group and Allied Shipbroking, 217 VLCCs have been ordered so far in 2026, compared to just 93 last year.
The surge in demand is driven by the US-Iran war, which has disrupted trade routes and boosted demand for long-haul crude shipments. Asian and European refiners are having to replace supplies lost due to the virtual closure of the Strait of Hormuz, through which about one-fifth of global oil and liquefied natural gas supplies passed before the war.
US crude exports have hit record highs, and other Atlantic Basin suppliers are boosting output. Countries on the east coast of South America, led by Brazil, Guyana, and Argentina, will drive further export growth, said Ioannis Papadimitriou, analyst at Vortexa. This will largely feed European and Asian markets and favour longer-haul trades.
The demand for VLCCs and smaller Suezmax tankers is also being driven by the growing need to shuttle oil out of the Gulf through the Strait of Hormuz to reload onto larger tankers in the Gulf of Oman. Middle Eastern producers find shipowners unwilling to run the gauntlet of Iranian attacks, so they are deciding to own vessels themselves.