Fuel costs have surged by nearly 70%, freight rates continue to soar, and the strait crisis is consuming $500 million from Maersk every month.
- Due to factors such as impeded passage through the Strait of Hormuz, marine fuel costs have surged by nearly 70%, and global container shipping prices continue to rise sharply. The price of very low sulfur fuel oil at the world’s top 20 bunkering hubs has increased by 68% since mid-February, while high sulfur fuel oil is up by 66%.
- The CEO of the Danish shipping giant Maersk Group revealed that the Strait of Hormuz crisis is bringing the company an additional $500 million in monthly fuel expenses. The CEO of the German company Hapag-Lloyd stated that their additional weekly fuel costs reach 50 to 60 million euros, with freight rate increases basically matching cost increases.
- British shipping consultancy Drewry pointed out that ongoing geopolitical tensions in the Middle East, along with high fuel costs and surcharges, are putting significant pressure on freight rates across all shipping lanes. If the strait cannot be reopened soon, market disruptions will intensify further.
- An ExxonMobil senior vice president warned that if passage through the Strait of Hormuz cannot be restored in the coming weeks, Brent crude oil prices could soar to $150 to $160 per barrel, further driving up marine fuel costs and surcharges.
- From a trading logic perspective, the cost transmission from fuel to freight rates is largely complete. The main focus ahead is on the time window for restoring passage through the strait. If the stalemate continues, inflationary pressures will further transmit through the shipping chain to global consumer goods prices.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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