Shipping traffic through the Strait of Hormuz has plummeted to nearly 90% below pre-conflict levels, according to Clarksons Research. As of July 20, daily transits averaged just 12 crossings, a stark contrast to 125 prior to the conflict. The decline in traffic has significantly impacted oil transit; crude oil passing through the strait has dropped to about 1.5 million barrels per day, down from 10 million bpd earlier this month.
The share of vessels rerouting via Oman has decreased to 2% of transits, compared to 22% earlier in July. Last week witnessed a surge in regional vessel attacks, with five incidents reported. Currently, around 385 vessels are anchored off Oman, slightly down from the previous week but still 25% above early June levels.
Despite these disruptions, energy shipping markets remain resilient. VLCC earnings have surged to $128,000 per day, a 32% increase since early June. Suezmax and Aframax rates have risen by 63% and 68%, respectively. In the gas segment, VLGC rates have rebounded to $145,000 daily, reflecting ongoing favorable arbitrage dynamics.
