How a handful of chokepoints came to dominate the world economy
How a handful of chokepoints came to dominate the world economy
in
International Shipping News
12/05/2026
T
he closure of the Strait of Hormuz in February once again demonstrated how volatile global trade flows are—and not just for oil.
The strait, which narrows to just 21 miles wide as it passes between Iran and Oman, normally carries a quarter of the world’s seaborne oil trade, making it one of the most critical logistical factors to global energy supply.
But as the key maritime trade route from the Gulf region to the rest of the world, it also holds sway over large swathes of the rest of the economy. About one third of the world’s fertilizer passes through the strait, and about the same share of global helium production. Then there’s critical amounts of sulphur, aluminum, methanol—the list goes on, with the effects rippling through industries from food to construction to consumer electronics.
But how did shipping come to be so vital for the global economy? And why is maritime transp
Tanker Market Volatility Could Ramp Up After UAE’s OPEC Exit
Tanker Market Volatility Could Ramp Up After UAE’s OPEC Exit
in
Hellenic Shipping News
12/05/2026
T
he tanker market’s volatility could increase in the long-term, after UAE’s decision to exit OPEC. In its latest weekly report, shipbroker Intermodal said that “in a move that challenges the coherence of one of the most well known cartels in the global economy, the UAE has announced its decision to withdraw from OPEC, ending nearly six decades of membership and removing a key producer from the bloc. Rather than an isolated policy shift, the development underscores a growing misalignment between members that have historically underpinned OPEC’s cohesion, most notably Saudi Arabia and the UAE.
Rebalancing the liquids markets amid SOH disruption
Rebalancing the liquids markets amid SOH disruption
in
International Shipping News
12/05/2026
In this Market Pulse, we analyse how the market is rebalancing after the removal of around 20 Mbd of flows through the Strait of Hormuz. The adjustment is being driven by supply cuts, refinery run reductions, limited rerouting, demand erosion, and inventory drawdowns, but remains incomplete, leaving the system structurally tighter.
Sixty days into the disruption, the Strait of Hormuz continues to operate at minimal capacity, with only limited vessel movement observed. What initially appeared as a logistical bottleneck has now evolved into a prolonged structural dislocation, significantly reducing the flow of crude and refined products from the Middle East Gulf into global markets.
As shown in Table 1, flows through the Strait have collapsed from around 20 Mbd pre-disruption to nearly 1 Mbd in April, highlighting the scale of the supply shock.
The market has responded through a multi-layered ad
Somali piracy adds new strain to global shipping and trade routes
Somali piracy adds new strain to global shipping and trade routes
in
International Shipping News
12/05/2026
It’s been a nightmare two months for global shipping, with the Strait of Hormuz largely shut to commercial traffic and the threat of fresh attacks on vessels in the Red Sea.
Now, a third crisis is brewing — a resurgence in Somali piracy.
Even before the latest escalations between the United States, Israel and Iran, around half the vessels bound for Europe from Asia and the Gulf were bypassing the Red Sea and Suez Canal due to earlier strikes by the Iran-backed Houthis.
Faced with the threat of attacks around the Bab el-Mandeb Strait, the narrow chokepoint between the Red Sea and the Gulf of Aden, major shipping firms opted instead for the long detour around southern Africa.
This diversion adds two to three weeks and thousands of nautical miles to the journey, taking ships right past Somalia’s coastline — the same waters where Somali pirates staged a multiyear campaign of hijackin
Photos Appear to Show Fire Aboard Iranian VLCC Disabled by U.S. Navy
Fire and thick black smoke rise from the Iranian-linked tanker Sea Star III near Bandar-e Jask in the Gulf of Oman after the vessel was reportedly disabled by a U.S. Navy F/A-18 Super Hornet during blockade enforcement operations.
Photos Appear to Show Fire Aboard Iranian VLCC Disabled by U.S. Navy
Mike Schuler
Total Views: 0
May 11, 2026
New images circulating online appear to show damage and an active fire aboard the Iranian tanker
Sea Star III
days after the vessel was
disabled
by a U.S.
MABUX: Bunker Prices to Keep Rising Next Week
MABUX: Bunker Prices to Keep Rising Next Week
in
International Shipping News
01/05/2026
During the week, the global bunker market resumed a clear upward trajectory, driven by persistent geopolitical tensions in the Middle East and the absence of any visible de-escalation signals. Market sentiment remained firmly supported by supply-side concerns and elevated risk premiums. By the end of the week, the 380 HSFO index increased by USD 26.54, rising from USD 737.03/MT to USD 763.57/MT.
The Mediterranean’s Super-Yacht Summer Is Moving West This Year
View of the Orient Express Corinthian, a luxury sailing cruise ship, moored at the Chantiers de l’Atlantique shipyard in Saint?Nazaire, France, April 28, 2026. REUTERS/Stephane Mahe
The Mediterranean’s Super-Yacht Summer Is Moving West This Year
Bloomberg
Total Views: 1
May 2, 2026
By Clara Hernanz Lizarraga
May 2, 2026 (Bloomberg) –The summer yachting season is beginning to fill up along the docks of the Mediterranean, just not in the places many in the industry expected a few months ago.
From Barcelona to Mallorca and the French Riviera, marinas are gearing up for a strong season as owners redirect their plans away from the eastern Mediterranean, where tensions linked to the war in Iran have increased security concerns in one of the world’s busiest luxury cruising corridors.
The shift is proving a boon for western Mediterranean ports, while leaving some of the largest yachts effectively stranded in the Gulf.
“France, Italy and Spain will see a very good season,” said Sasha Romashova,
Saudi Arabia Set For Oil Windfall After Hormuz Boosts Prices
The Liberia-flagged tanker Shenlong Suezmax, loaded with Saudi Arabian crude, arrives at a port after transiting the Strait of Hormuz amid supply disruptions linked to the U.S-Israeli conflict with Iran, in Mumbai, India, March 12, 2026. REUTERS/Francis Mascarenhas
Saudi Arabia Set For Oil Windfall After Hormuz Boosts Prices
Bloomberg
Total Views: 0
May 2, 2026
By Andrey Biryukov
May 1, 2026 (Bloomberg) –The blockade of the
Strait of Hormuz
is creating an economic split among oil exporters in the Persian Gulf, with Saudi Arabia and Oman set for a windfall and others including the United Arab Emirates seeing a drop in petrodollar income.
Saudi Arabia is gaining a revenue edge over most of its Gulf Arab neighbors as it is able to divert the bulk of crude exports to the Red Sea. Higher prices more than compensated for lost shipments through the strait, according to Goldman Sachs Group Inc.
Iran Offers Strait Deal; Trump Dissatisfied But Prefers Non-Military Path
Ships and boats in the Strait of Hormuz, Musandam, Oman, May 1, 2026. REUTERS/Stringer
Iran Offers Strait Deal; Trump Dissatisfied But Prefers Non-Military Path
Reuters
Total Views: 0
May 2, 2026
By Parisa Hafezi and Jacob Bogage
DUBAI/WEST PALM BEACH, May 2 (Reuters) – An Iranian proposal so far rejected by U.S. President Donald Trump would open shipping in the
Strait of Hormuz
and end the
U.S. blockade of Iran
while leaving talks on Iran’s nuclear program for later, a senior Iranian official said on Saturday.
Trump, who has said repeatedly that Iran can never have a nuclear weapon, said on Friday he was not satisfied with the latest Iranian proposal for talks, while Iran’s foreign minister said Tehran was ready for diplomacy if the United States changes its approach.
Trump also said on Friday that “on a human basis,” he did not prefer the military course of action against Iran and told leaders in the U.S.
Blocked Hormuz Fuel Surge Claims Spirit Airlines
A Spirit Airlines jet sat on the tarmac as operations ceased for the company after hitting an impasse in talks with some creditors on a $500 million government bailout plan, at Orlando International Airport in Orlando, Florida, U.S. REUTERS/Miguel Rodriguez
Blocked Hormuz Fuel Surge Claims Spirit Airlines
Reuters
Total Views: 0
May 2, 2026
By David Shepardson and Laila Kearney
May 2 (Reuters) – Major airlines and the U.S. government scrambled to help stranded passengers and employees after bankrupt discount carrier Spirit Airlines FLYYQ.PK ceased operations on Saturday, the industry’s first casualty linked to the
Iran war
.
The collapse overnight of the carrier following a doubling in jet fuel prices during the two-month-old Iran war will cost thousands of jobs.