Tanker market strength driven by rising oil demand and longer voyage distances
The product tanker segment is showing strong momentum heading into autumn 2025. This recovery is driven by sustained global oil demand, robust freight rates, and longer trade routes resulting from Red Sea disruptions.
Industry participants broadly expect a stronger year-end, reversing last year’s pattern when activity peaked earlier in the cycle.
Geopolitical tensions are extending voyage distances
This week, Middle East tensions dominated the headlines after a vessel was attacked in the Red Sea by Yemen’s Houthi rebels. As a result, traffic through the Strait of Hormuz continues to decline, leading to longer maritime routes and reduced vessel availability.
Higher OPEC+ production quotas are expected to increase crude tanker utilization
The OPEC+ decision to increase crude production is expected to boost demand for crude tankers, while also positively impacting the product tanker segment through greater flows to refineries. According to TradeWinds, analysts project that spot earnings for the largest crude carriers could reach up to USD 80,000 per day by year-end, reflecting the market’s resilience.
Firm outlook for the tanker market in the second half of 2025
Overall, market fundamentals point to sustained demand and high fleet utilization during the autumn trading season, creating a supportive environment for tanker investment.
Sources: TradeWinds, Clarksons