A recent analysis by Danish Shipping Companies reveals that the price difference for bunker oil between Singapore and Rotterdam reached a record high of $362 per ton in mid-March 2026. This disparity, particularly pronounced in Asia, highlights the significant impact of geopolitical events on oil prices.
The study examined the price trends of VLSFO bunker fuel (0.5% sulfur) from September 2019 to May 2026, noting that the highest price difference occurred on March 12, 2026. Factors such as Russia’s invasion of Ukraine and the ongoing crisis in the Strait of Hormuz have contributed to substantial price hikes, with Asian markets feeling the brunt of these increases.
Jacob K. Clasen, Deputy CEO of Danish Shipping Companies, emphasized that geopolitical crises disrupt free navigation, leading to rising oil prices, which in turn elevate shipping costs and ultimately affect consumers.
The analysis also points to differing supply structures as a key factor; Asian markets are more reliant on Gulf region supplies compared to Europe. Clasen underscored the importance of energy security and diversification, warning against over-dependence on any single energy source or region.
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