Shipowners delay Hormuz passage until US-Iran agreement is confirmed
Shipowners will not resume transit through the Strait of Hormuz for weeks until they are confident that the US-Iran deal is “material”, the CEO of Japan’s Mitsui O.S.K. Lines told the Financial Times in an interview published on Tuesday. The Iran war that began on February 28 with US-Israeli strikes largely stopped shipping through the transit route for around a fifth of the world’s oil and liquefied natural gas supply, along with products such as aluminium and urea. Mitsu
Shipping companies are delaying transit through the Strait of Hormuz due to uncertainty over the US-Iran deal. The CEO of Mitsui O.S.K. Lines stated that resuming passage could take weeks. The conflict between the US and Iran disrupted global oil and gas supplies. Mitsui O.S.K. is one of Japan's largest shipping companies. The CEO emphasized the need for a meaningful agreement to ensure safe passage. The company is waiting for concrete actions, not just a formal deal. The situation has caused significant disruptions in global trade. Shipping firms are cautious given recent events. The delay highlights the ongoing risks in the region. The agreement's effectiveness remains to be seen.
The delay in shipping through the Strait of Hormuz could impact global trade and energy markets.
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