Red Sea and Hormuz straits see sharply reduced vessel crossings, raising concerns over global oil supply stability and shipping costs.
Vessel traffic through critical oil chokepoints, including the Red Sea and Strait of Hormuz, remains significantly below pre-conflict levels. Hormuz, which once carried a fifth of the world’s crude and gas, saw only 10 crossings on Saturday, far short of normal throughput. The decline follows heightened geopolitical tensions and a Houthi embargo on Saudi Arabia, exacerbating existing disruptions.
Recent figures show Bab el-Mandeb strait crossings dropped to 18 on Sunday, down from 27 the previous day. Operators are increasingly turning off AIS transponders to avoid risks, a move linked to higher insurance and freight premiums. Analysts warn the trend may persist, creating a structurally lower throughput environment for energy markets.
The situation underscores persistent risks for global oil flows, despite diplomatic efforts. Traders remain cautious as prolonged disruptions could tighten supply and elevate prices.