Dubai: Shipping through the Strait of Hormuz has come to a virtual standstill on Monday, after a short-lived reopening over the weekend collapsed with the US Navy’s unprecedented seizure of an Iranian vessel — a pointer to the steep hurdles to reviving flows in this essential chokepoint.
Over seven weeks of Persian Gulf conflict, passages via the strait have shrunk to a mere dribble, with Iran clamping down in reprisal for attacks by the US and Israel. Friday brought hopes of relief when Iran and the US declared the route open again, sending oil prices tumbling and ships scrambling to transit—until chaos resumed, Bloomberg reported.
US Seizure Raises Stakes
On Sunday, however, US naval forces had intercepted an Iranian cargo vessel near Jask port in the Gulf of Oman en route to Hormuz — the inaugural such operation under the current US blockade. The move has amplified perils for regional mariners and broadened the swath deemed hazardous for voyages. Benchmark crude has surged accordingly, signalling a supply disruption that could drag on historically.
“The continued volatility will deter most, if not all shipowners, to adopt a cautious ‘wait and see’ approach,” said Ivan Mathews, head of AC analysis at Vortexa Ltd, according to Bloomberg.
Tankers Defy the Standoff
One active oil products tanker, the Nova Crest—sanctioned by the UK, EU, and Switzerland for Russian oil dealings—sits south of Larak Island, outbound from Hormuz toward the Gulf of Oman, with Khor Fakkan in the UAE as its declared stop.
Counter-directionally, the US-sanctioned LPG carrier Axon I advances from Fujairah into the strait, eyeing Sharjah in the UAE. Nearby sails the medium-range tanker Starway, bound for the UAE’s Hamriyah port.
LNG carriers drawn by the weekend’s false dawn have turned back or loitered, pending resolution.
A shaky US-Iran ceasefire expires on Tuesday night.
