Tanker Markets Under Pressure from Ongoing Export Disruptions
Mounting pressure on tanker markets is being driven by export disruptions that have reduced seaborne volumes. This has led to declining oil and product stocks, increasing the risk of higher oil prices, weaker economic growth, and lower tanker demand.
Niels Rasmussen, Chief Shipping Analyst at BIMCO, notes that despite a brief Memorandum of Understanding (MoU) between the US and Iran on June 17, negotiations have stalled and safe passage through the Strait of Hormuz remains uncertain.
Year-to-date oil and heavy-product export volumes have fallen by 5.7% year-on-year while clean-product export volumes have declined by 11.2%. Despite this, product tanker tonne mile demand has increased slightly year-to-date as LR2s have captured more crude oil and heavy-product volumes.
Persian Gulf exports remain below previous levels due to various disruptions, including attacks on refineries and shipping in the region.