The crude oil tanker market is facing challenges due to an aging fleet in need of replacement, according to Trafigura executive Andrea Olivi. Shipyards focusing on building other types of vessels, such as container and LNG ships, have limited capacity for new VLCC tankers. The strong market demand for crude oil tankers is partly attributed to longer voyages and the use of a shadow fleet to transport sanctioned oil from countries like Russia, Iran, and Venezuela.
Trafigura has ordered five newbuild VLCC tankers from a Chinese shipyard for delivery starting in 2026. The focus in recent years has been on building container and LNG tankers, leading to a potential shortage of crude oil tankers. CEO Lars Barstad estimates a need for about 1,100 crude oil tankers in the coming years, including 400 VLCCs, to replace the aging fleet. Trafigura, responsible for over 5,000 voyages a year, sees confidence in the market segment growing as the demand for new vessels increases.
Despite the challenges in the crude oil tanker market, Trafigura remains confident in the industry’s growth potential. The company’s strategy includes ordering new VLCC tankers to replace older vessels and meet market demand. With a focus on expanding its fleet and adapting vessels for dual-fuel operation with ammonia, Trafigura is positioning itself for success in the changing landscape of the crude oil tanker market.
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