US Crude Shipping to Asia Hits Record $44.8 Million per VLCC

Shipping cost for a very large crude carrier to move 2 million barrels of US Gulf Coast oil to China hit a record $44.8 million on Tuesday, Baltic Exchange data show. The price jumped from $39 million the day earlier and is more than double the $17.8 million level that prevailed before the Iran‑related war broke out in late February. Buyers are scrambling for cargoes as Middle‑East supply disruptions tighten global oil markets. The surge reflects heightened competition for limited tanker space and fears of further shortages. Traders note that the record rate makes each barrel cost about $22 more to transport than a month ago. US oil continues to backstop the supply gap created by the turmoil, prompting shippers to prioritize American cargoes. Analysts warn that continued unrest in the region could push freight rates even higher, squeezing refining margins in Asia. The spike underscores the growing role of US crude in meeting Asian demand amid tighter traditional supply routes.