Why the US-Iran deal may fail to revive shipping through the Strait of Hormuz
Industry insiders and vessel-tracking data point to continued caution among operators despite geopolitical breakthrough
Some industry insiders said the deal’s impact on the global shipping industry would hinge on whether the United States extended sanctions relief beyond the initial agreement, as well as on sustained efforts to clear mines from the strategic waterway.
“At this stage, there are no changes to our operations in the Middle East,” the company told the South China Morning Post on Wednesday.
The strait serves as a critical artery of global trade and, before the conflict, carried about one-fifth of the world’s seaborne oil and liquefied natural gas, as well as critical agricultural inputs such as urea.
Although the agreement promises to restore commercial shipping and ease some restrictions on Iran, analysts said the industry was likely to adopt a wait-and-see approach.