Tanker Migration Avoids Persian Gulf Turmoil: 25 Vessels Head West to Saudi Yanbu Port, Capacity Reaches 50 Million Barrels

GateUser-bd883c58 · 2026-03-23T18:19:16+00:00

As Iran blocks the Strait of Hormuz, international trade seeks alternative routes. 25 oil tankers have rerouted to Saudi Arabia's Yanbu Port, expected to transport 50 million barrels of oil, becoming a new export hub. Oil price volatility intensifies, impacting container and liquefied natural gas transportation, with prolonged blockades threatening oil supplies to multiple Asian countries.

GateUser-bd883c58

2026-03-23 18:19:16

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Caixin, March 12 (Editor Liu Jingyi) — As Iran’s blockade of the Strait of Hormuz, a critical chokepoint for global shipping, exceeds one week, more and more international traders are seeking alternative routes to ensure the smooth operation of supply chains.

Recently, a fleet of at least 25 oil tankers rerouted to the port of Yanbu on the Red Sea coast in western Saudi Arabia to facilitate the smooth export of oil resources.

According to ship tracking data from Bloomberg, this fleet will have the capacity to transport about 50 million barrels of oil from the port to the international market. If these tankers can successfully load their cargo, Yanbu will become a new trade export hub in the Gulf region amid current turbulence.

Previously, due to the closure of the Strait of Hormuz, global oil prices experienced significant volatility. Oil prices surged this Monday but quickly retreated after U.S. President Trump hinted that the war might be nearing an end.

Currently, container shipping companies, oil tankers, and liquefied natural gas (LNG) carriers are reducing operations in the Gulf region. External trade is shifting to support via land and rail transportation, exporting through ports in the Indian Ocean.

Paolo Carlomagno, a partner at LITE Consulting, pointed out that in terms of crude oil transportation, existing pipelines such as Saudi Arabia’s East-West oil pipeline and the pipeline connecting Abu Dhabi to Fujairah allow some oil exports to bypass the Strait of Hormuz. However, these solutions mainly target crude oil, while refined oil transportation still faces significant pressure.

He further stated that the situation for liquefied natural gas is quite different, with very limited alternative export routes available.

Carlomagno emphasized that if the Strait of Hormuz remains closed long-term, the countries most affected will be many in Asia, including India, China, Japan, and South Korea, which are major importers of Gulf oil.

(Caixin, Liu Jingyi)

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