COSCO tanker clears Hormuz while maritime traffic stays weak

An oil products tanker operated by Chinese shipping group COSCO was in the process of crossing through the Strait of Hormuz on Wednesday, after two crude tankers sailed in the past day, although oil traffic overall was still limited, shipping data showed. 

Before the war on Iran began on February 28, shipping traffic through the Strait averaged 125 to 140 daily passages. Due to the conflict, 20,000 seafarers remain stranded inside the Gulf on board hundreds of ships.

The Chinese-flagged Hua Lin Wan, carrying a cargo of oil products, was in the process of crossing the Strait on Wednesday, according to satellite analysis from data analytics specialists SynMax.

COSCO could not immediately be reached for comment outside normal office hours in China.

At least two other COSCO crude oil tankers have sailed through the strait since May 13, according to ship tracking data.

Average overall daily transits have been around 11 vessels, which has been consistent since February 28, according to analysis from ship broker Clarksons.

Two crude tankers, operated by Greek- and Singapore-based companies, sailed through the strait on Tuesday, separate Kpler and LSEG shipping data showed.  

"Despite seeing some progress in the number of tankers transiting the Strait, compared to pre-war levels, flows of oil and products remain at a trickle, with Iran and the U.S. both vying for control," tanker broker Gibson said in a report.

"Numerous conditions would need to be met before pre-war traffic could resume: security guarantees, mine clearance, and a renewed insurance framework, among others."

The volume of shipping traffic through the strait, through which around one-fifth of the world's supply of oil and energy normally flows, remained at recent levels in the past day. A further nine ships crossed the Strait, going out and coming into the Gulf, according to analysis from SynMax and Kpler. 

The vessels were mainly smaller container and cargo ships and one chemical tanker, the data showed.