Fuel oil tanker rates from the Middle East to Japan have surged by over 36% due to increased risks in the Strait of Hormuz.

Due to ships avoiding the Strait of Hormuz, the benchmark rates for transporting clean petroleum products such as gasoline, diesel, and naphtha from the Persian Gulf to Japan have surged by over 36%. Data from the Baltic Exchange shows that rates for the TC5 route soared to over 308 Worldscale points on Monday, hitting the highest level in nearly two years. The 36% rate increase is the largest since 2019.