The cost of renting oil tankers
The cost of renting oil tankers has reached its highest levels in the last five years due to changes in oil supply after the sanctions against Russian exports were introduced. The rental rates for VLCC supertankers have increased to 137 thousand dollars per day, the highest level since the end of April 2020. This price increase of 576% compared to the beginning of the year demonstrates a significant shift in the market.
The impact of sanctions on the tanker market
The broader VLCC rate index has also noted an increase, reaching 116.4 thousand dollars per day. American sanctions against oil exports by companies 'Rosneft' and 'Lukoil' took effect on Friday, affecting the tanker rental market. As a result, there is a record number of tanker orders for the end of November and December — about a dozen vessels.
As of the beginning of 2025, Russia's shadow fleet consisted of approximately 940 vessels, an increase of 45% compared to the previous year. The average age of the vessels in the shadow fleet is about 20 years. Key characteristics of this fleet indicate that about 17% of the world's tankers are used for transporting Russian oil. Most of these vessels lack proper insurance, regularly change flags, provide false location data, and engage in oil transshipment at sea.
Thus, the recent changes in the tanker rental market are marked by a significant increase in costs, related to the new realities of oil supply in the global economy. The rise in rental rates may indicate that the oil market is adapting to new conditions and sanctions that affect traditional supply routes. This could have long-term implications for the global energy market, particularly for countries dependent on Russian oil exports. It is important to monitor further changes in this sector, as they may impact oil prices and energy security as a whole.