Diesel is an essential fuel for the global economy. The world’s second-largest seaborne supplier, Russia, just halted exports.
Looking ahead, Taiwanese ocean carrier Yang Ming said that “the overall momentum for economic recovery over the next two years still appears relatively weak.”
The Wagner mutiny is drawing attention to what happens after the war in Ukraine ends. When it does, shipping will see major changes.
Older ships are being kept in service longer in pursuit of profits, heightening the risk of accidents and spills.
Europe faced a potentially disastrous energy shortage after war broke out. LNG shipping played a vital role in limiting the fallout.
The war has stoked fears of global shortfalls of wheat, corn and fertilizers, but the flexibility of shipping trades has limited the risk.
Russia’s invasion of Ukraine and the temporary blockage of its Black Sea port have redirected the flow of grain from Ukraine.
Tanker capacity for diesel is already tight amid war fallout. With very few ships on order, future transport capacity could fall short.
Larger crude tankers are moving more U.S. exports on shorter voyages to Europe as long-haul volumes to China stagnate.
After a year of sanctions and “self sanctions,” shipping cargoes caught in the crossfire continue to find their way to buyers.
Sanctions have split the world’s tanker fleet in two. On one side, those that follow Western rules; on the other, those that don’t.
Russian crude restrictions are having the predicted effect on tanker trades, soaking up more vessel capacity as sailing distance lengthens.
Sanctions on Russian crude exports have yet to boost tanker rates. Some question whether sanctions on Russian diesel will either.
The predicted boost to tanker rates from Russian crude disruptions has yet to materialize. Instead, rates have declined.
Just as the pandemic wound down, another market-altering event for shipping — the Ukraine-Russia war — ramped up.
Even if no oil moves under price caps, Russian exports could face deep discounts and continue to flow via “shadow tankers.”
Ukraine Crisis Expected to Speed Up Shift to Renewables
The “shadow fleet” is not large enough to save Russian oil exports from Western sanctions, according to multiple analysts.
The U.S. and Ukraine have signed a letter of intent to facilitate private-sector investment in the war-torn country.
“Right now, shipping companies around the world are looking at this and scratching their heads,” says sanctions expert Bruce Paulsen.
If the U.S. curbed gasoline and diesel exports, tankers would sail longer distances to replace lost volumes — a plus for tanker earnings.
The Russia-Ukraine war caused demand for LNG to surge. Owners of LNG carriers are in prime position to profit this winter.
The cost of marine fuels is down sharply from the wartime peak, except for ‘clean’ LNG, which is getting even more expensive.
It looks increasingly likely that war-driven changes to global crude flows will persist for an extended period.
Fallout from the Ukraine-Russia war and concerns over power supply in Europe and Asia support demand for seaborne coal.
In February, Russia was still making around 40% more money off its exports of oil, gas and coal in May 2022 than it did one year earlier
The first half has been phenomenal for product tankers. How much of shipping upside is due to the war?
EU sanctions on Russian petroleum exports could have much more serious repercussions than earlier U.S. moves.
Tankers are loading up on American crude, diesel and gasoline exports. Can the free market withstand political pressure?
Atlas Air, Kalitta freighters spotted with military cargo at Air Force base
Without sanctions, tankers will keep loading Russian oil. ‘We’re not taking a moral high ground,’ says Frontline’s CEO.
First came a pause in cargo bookings to Russia. Now, ocean carriers have halted almost all of their Russian port calls.
Traton Group is glad it bought Navistar when it did. The U.S. truck and bus maker is helping offset war and other issues at the German holding company.
Container-ship transits of the Panama Canal are up as liners favor the East Coast. LNG transits are down as U.S. gas heads to Europe.
Retail stock pickers seem increasingly nervous about shipping. Shares of dry bulk, tanker, container and mixed-fleet owners all fell.
Russian imports via ocean, truck, rail and air are now being simultaneously squeezed. Shipping data shows growing pressure.
RH confirms sharp drop in demand since Russia-Ukraine war and sees no supply chain relief.
Revived Soldiers Ukraine placed an order for up to 200 drones from Canada-based Draganfly
Charter rates hold steady at their peak as the seemingly neverending container shipping boom continues.
U.S. LNG cargoes were already flooding toward Europe months before the new deal. Real progress seems years away.
Cost of shipping crude oil remains cheap, but tanker rates could jump if the war doesn’t end by fall.
Ship-position data shows a fleet of LNG carriers en route to Europe amid scramble to bolster energy supply.
Delivery of fuel, ammunition vital during times of conflict
Officials blame Russian attackers, vow to rebuild monster-sized AN-225
Manufacturers kept the screws tight on new Class 8 truck orders in February as a lack of supply chain visibility maintained stable backlogs.
Join us in Chattanooga, TN for a festival like no other!
