Global marine fuel sales surged in 2024 due to attacks by Yemen’s Houthis, which led shipping companies to reroute vessels around southern Africa instead of through the Red Sea. Singapore saw record-high bunker volumes of 54.92 million metric tons, while Fujairah in the UAE experienced its first annual increase in sales after a period of decline. Rotterdam also saw a 12% rise in marine fuel sales in the first quarter of 2024, reaching 2.16 million tons.
According to Aldo Spanjer of BNP Paribas, diversions to longer routes increased tonne mileage, boosting fuel demand for ships. The Houthis’ announcement in January that they would only target Israeli-linked ships after a Gaza ceasefire raised hopes of a return to the Red Sea and Suez Canal. However, the potential decrease in bunker fuel demand from a return to the Suez Canal has led shipping executives to remain cautious about navigating through the Red Sea route.
The rebound in Rotterdam’s marine fuel sales in the first quarter was primarily driven by strong demand for high sulphur fuel oil (HSFO) from larger vessels. Overall bunker sales in Rotterdam fell by 1% in 2024 compared to the previous year, totaling 9.06 million tons. This decline was attributed to weaker demand for very low sulphur fuel oil. Despite the challenges, the maritime industry continues to adapt to changing geopolitical and economic conditions.
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