Shipping companies are hesitant to navigate the Strait of Hormuz, even as Iran’s Islamic Revolutionary Guard Corps announced potential for “safe, stable passage” through this crucial oil route. This statement follows reports of a US-sponsored peace proposal under consideration by Tehran. However, the specific demands Iran may impose on vessel transit, and the US’s stance on these conditions, remain uncertain.
Industry experts express skepticism about resuming shipping through Hormuz. Halvor Ellefsen from Fearnleys Shipbrokers noted that many shipowners are cautiously optimistic, citing past instances where similar hopeful declarations did not lead to concrete changes. The reopening of the strait is vital for the global oil market, with its closure resulting in significant supply disruptions and rising prices; US gasoline hit over $4.50 per gallon this week, the highest since 2022.
Reports stipulate that shipowners must contact the Persian Gulf Strait Authority to request passage, providing detailed information about their vessels. Yet, some industry leaders doubt the safety of such movements, particularly after a recent attack on a container ship. Consequently, international shipping association Bimco emphasizes the need for formal confirmation of new transit rules before issuing updated safety guidelines. While some shipowners may see the IRGC’s announcement as a chance for transit, previous similar situations resulted in ships reversing course due to safety concerns.
