Freight
Overview
Oil, gas and dry cargoes are being shipped all over the world every day. With seaborne transportation comes exposure to shipping costs. Be it via direct cost or through the prices of feedstocks or finished products, a freight factor is always there. Highly sensitive to market shifts, geopolitics and regulations, freight is a complex and volatile part of every trade.
To manage this exposure, industry participants, from producers and traders to government agencies and financial institutions rely on our freight data for contracts, pricing formulas, analytics and arbitrage tracking.
Argus Freight consists of three dedicated services, covering trade flows for tankers, dry bulk and gas markets. Each service provides daily freight indexes, industry-specific news, market analysis and exclusive content. This enables you to connect the dots between commodity prices and shipping costs, giving you a complete view of the supply chain.
Latest freight news
To unearth the true insights needed to make confident decisions, you need access to data, price assessments and analytical tools to manage freight risks.
VLCC rates exposed to disruption after Israeli strike
VLCC rates exposed to disruption after Israeli strike
London, 13 June (Argus) — The cost of freight for Mideast Gulf-origin very large crude carrier (VLCC) voyages could increase after Israeli air and missile strikes hit Iran in the early hours of today, 13 June. The VLCC market is exposed to volatility as around 65pc of all shipments in that class are from the Mideast Gulf. In October 2024, when Iran launched more than 200 missiles against Israel, the Argus- assessed rate for the Mideast Gulf to China route increased by more than 13pc, to $14.10/t, in three days. So far is appears there is no disruption to oil flows through the Mideast Gulf and the strait of Hormuz, and remains unclear as Iran's oil infrastructure was unscathed by the Israeli air and missile strikes according to Iran's state news agency Irna and Argus sources. But some shipowners have become increasingly cautious of the region, with some market participants suggesting more risk-averse owners might avoid the area until the conflict de-escalates. This could encourage some owners to increase their offers as the risk of transiting the area mounts, and discourage some from visiting the region at all. Charterers made multiple cargoes available to the Mideast Gulf market today, but most remained unfixed. But the rise in crude prices today — front month Ice Brent is trading around 5.5pc higher having rise as much as 13pc earlier — could discourage China, the largest importer of Mideast Gulf grades, from purchasing more crude. This could curtail any jump in freight rates and perhaps create a ceiling to cap the increase. By Rhys van Dinther Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Strikes raise risk to Mideast diesel, naphtha flows
Strikes raise risk to Mideast diesel, naphtha flows
London, 13 June (Argus) — Israeli missile strikes on Iran in the early hours of Friday have heightened the risk of disruption to clean tanker shipping from the Mideast Gulf, particularly for diesel heading to Europe and naphtha bound for east Asia. Around a fifth of Long Range (LR) vessels and 7pc of the Medium Range and Handysize trading fleet are located in the Mideast Gulf at any given time. The region is the main supplier of diesel to Europe and a key source of naphtha for east Asia. Several shipowners said they will be more cautious about booking cargoes from the region, especially if the conflict deepens. Some market participants suggested regional freight rates could spike to levels seen after the start of the war in Ukraine in 2022 or the first Houthi attacks in the Red Sea in 2023. During a similar flare-up between Iran and Israel in April last year, freight rates rose as fewer shipowners were willing to transit the strait of Hormuz. Long Range 2 (LR2) rates from the Mideast Gulf to the UK Continent peaked at a lump sum of $6.4mn on 18 April, up from $4.8mn a week earlier. Long Range 1 (LR1) rates also climbed, reaching $4.9mn by 26 April from $4.2mn on 12 April. Medium Range rates surged to $3.75mn on 26 April, up from $3.1mn on 5 April The usual summer slowdown in freight rates may temper a similar spike this time. But if hostilities intensify, more shipowners are likely to avoid loading in the Mideast Gulf. The region is one of the world's largest exporters of refined products, with around 3mn b/d of the global 25mn b/d of seaborne oil product exports passing through the strait of Hormuz. A loss of oil product supply from the Mideast Gulf would push key importers to seek alternative sources, increasing tonne-miles. But this could be offset by a drop in trade volumes, which would weigh on vessel demand. Another key risk is the potential introduction of an additional war risk premium (AWRP) for the region. This would complicate clean product exports from the Mideast Gulf, although Iranian volumes would be unaffected, as Iranian exporters do not rely on western marine insurance and would not be subject to the premium. Tensions between Iran and Israel have flared several times in recent years but have not caused prolonged disruption to trade flows. Market participants noted that while the closure of the strait of Hormuz — through which 20pc of global oil trade passes — remains a possibility, it is seen as unlikely, as it would severely hamper Iran's own exports. By Erika Tsirikou Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Freight market on alert after Israeli strikes on Iran
Freight market on alert after Israeli strikes on Iran
Singapore, 13 June (Argus) — Israeli air and missile strikes on Iran in the early hours of Friday have raised the risk of disruption to shipping in the Mideast Gulf, prompting concerns over rising freight rates, insurance costs and vessel safety. The escalation has heightened tensions in one of the world's most critical oil and shipping corridors, centred on the strait of Hormuz — a chokepoint for about a fifth of global oil supply. Market participants warn that freight rates could surge if the conflict drags on or if Iran launches a retaliatory strike. The Israeli operation targeted military facilities and infrastructure linked to Iran's nuclear programme, according to Israeli officials, who described the strikes as an act of self-defence. Israel has warned that Iran is closer than ever to acquiring a nuclear weapon. Oil prices surged following the strikes, reflecting concern about possible supply disruptions. At 08:30 GMT, the Ice front-month August Brent contract was at $73.51/bl, up by $4.15/bl from its 12 June settlement. Nymex July WTI was at $72.24/bl, up by $4.20/bl. Earlier in Asian trading, Brent had climbed as high as $78.50/bl and WTI reached $77.62/bl. Freight Market Reacts Ships operating in or transiting the Mideast Gulf and the strait of Hormuz could face higher costs and delays. "Insurance companies could raise the cost of additional war risk premiums (AWRP) if the conflict continues for a long time," a shipbroker said. Other freight market participants echoed this view. "Mideast Gulf freight rates could spike because owners will avoid going there," another source said, adding that shipowners are likely to err on the side of caution. The extent of the impact will depend on how long the hostilities last and the scale of Iran's retaliation. "The main thing to watch... is how Iran will retaliate. Shipping's stance would highly hinge on the degree of retaliation," a tanker broker said. The situation could also trigger operational disruptions, particularly for cargoes yet to load. "There is a possibility that the latest spat could fall under the force majeure clause, which could allow the cancellation of charters," a broker said. Force majeure clauses in charter parties release both parties from liability when extraordinary events — such as war — prevent contract fulfilment. But it remains unclear whether this incident meets that threshold. Higher oil prices could also push up bunker fuel costs, adding further upward pressure on freight rates, a shipowner said. Freight and energy markets are closely watching for signs of Iranian retaliation, which could worsen supply risks and increase volatility. "That [Zionist] regime should anticipate a severe punishment. By God's grace, the powerful arm of the Islamic Republic's Armed Forces won't let them go unpunished," Iran's Supreme Leader Ayatollah Ali Khamenei said on 13 June on social media platform X. While spot rates and war risk premiums are expected to rise in the short term, most market participants are adopting a wait-and-see approach. "The freight market has not yet reacted and rates in the Mideast Gulf did not jump on Friday, but nobody can predict how the conflict will develop further or how many more black swans there will be," a broker said. By Sureka Elangovan and Sean Lui Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Partners to build NH3 bunkering in Australia’s Pilbara
Partners to build NH3 bunkering in Australia’s Pilbara
Sydney, 10 June (Argus) — Australia-based blue ammonia firm NH3 Clean Energy and marine fuels company Oceania Marine Energy have signed an initial agreement with Australian port authority Pilbara Ports to develop low-emissions ammonia bunkering at the port of Dampier in Western Australia (WA). The partners aim to establish ammonia bunkering to service iron ore carriers at Dampier by 2030, NH3 Clean Energy said today. PPA is the world's largest bulk handling authority, shipping 750mn t/yr of commodities. NH3 Clean Energy is developing the WAH-2 blue ammonia plant near the WA city of Karratha, for which it hopes to take a final investment decision for a 650,000 t/yr phase 1 in late 2026 . Privately owned Oceania is establishing a bunkering business that will use LNG and ammonia at Pilbara Ports sites, with operations set to begin in 2027 and 2028, respectively. Oceania plans to use ship-to-ship transfer to supply low-emissions fuels, and is working with Singapore maritime firm Seatech Solutions on a vessel with capacity for 10,000m³ NH3 parcels. About 300 bulk carriers service Pilbara Ports's iron ore trade. If just 16 of these operated on ammonia and bunkered in Australia, 600,000 t/yr of ammonia would be required — more than 90pc of WAH-2 's phase 1 output, NH3 Clean Energy said. WA could become a world leader in lower-emissions shipping, the firm said, referencing recently adopted International Maritime Organisation (IMO) emissions limits and carbon pricing . The IMO's plan has disappointed some hydrogen industry associations and environmental groups , which claim hydrogen-based bunkering fuels will remain at a disadvantage to biofuels and LNG under the agreement. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Spotlight content
Browse the latest thought leadership produced by our global team of experts.
Explore our freight products
The Argus advantage
Our people
Our dedicated team of industry professionals are close to local markets, so you benefit not only from precise pricing data, but the breadth of market intelligence at their fingertips. Data alone - no matter how accurate - is not sufficient.
Methodologies
The unique market insights that our clients benefit from are founded upon proven methods. Our methodologies for price discovery are transparent and firmly based on rigorous market-appropriate processes.
Heritage
For over 50 years, clients have benefited from the precise market intelligence delivered by Argus experts working collaboratively across the global commodity markets.
