US-Iran conflict boosts oil tanker demand
The article pertains to a significant surge in orders for Very Large Crude Carriers (VLCCs) during 2026, with ship owners requesting more than twice the number of vessels compared to 2025, amounting to over $20 billion—marking the largest such demand in at least 25 years. This increasing demand is attributed to changes in oil trading routes driven by the US-Iran war, as oil exports are now traveling longer distances. This shift is partly due to the rerouting of supplies away from the Strait of Hormuz, with refineries in Asia and Europe compensating for the disruption and increased oil production in the Atlantic Basin. Additionally, rising shipping costs and the aging fleet have heightened the need to renew and expand the fleet with new vessels. Despite the global shift away from fossil fuels, it is expected that demand for long-haul shipping will remain high.
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