Vessel movement through the Strait of Hormuz has essentially ground to a halt, with no indication from either Iran or the United States that they intend to relax their respective maritime blockades.

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Diplomatic Stalemate

Negotiations between the two nations broke down once more after U.S. President Donald Trump called off a scheduled journey by his senior representatives to Islamabad, Pakistan. Trump remarked that Iran had presented many proposals, but they fell short of what was required. Iranian President Masoud Pezeshkian declared that his country would not engage in talks forced upon it through threats or a blockade, and stressed that confidence could not be restored unless hostile actions cease.

Traffic Snapshot

By Sunday morning, the only observable vessel departing the Persian Gulf via the Strait of Hormuz was a small coastal cargo ship, based on vessel-tracking information gathered by Bloomberg. A single small tanker carrying chemicals and oil products was spotted heading in the opposite direction. The strategic waterway has remained largely deserted since Iranian gunboats opened fire on ships and U.S. military forces intercepted Iranian vessels over the past week.

Oil Stockpiles

Iran persists in loading supertankers with millions of barrels of crude oil, even though it cannot deliver them. A satellite image captured Sunday morning over Kharg Island and adjacent waters reveals two very large crude carriers docked at the terminal and at least 19 other ships anchored in the vicinity. These vessels appear to be gathering off Kharg, while another cluster is forming near Chabahar, close to the Pakistani border, as the U.S. Navy blocks Iran-linked ships from exiting the Gulf of Oman. American forces intercepted the sanctioned vessel M/V Sevan in the Arabian Sea on Saturday, marking the most recent in a series of incidents after other ships were turned back last week and at least two were boarded in Asia.

Sanctions Pressure

The United States has escalated its pressure campaign by imposing sanctions on Hengli Petrochemical (Dalian) Refinery Co., one of China’s largest private oil refiners, for its purchases of Iranian crude. This action is part of a wider effort to isolate buyers of Iranian oil, with China remaining the largest importer.

Vessel Movements

Since Saturday morning, only three small oil tankers, one small LPG tanker, two bulk carriers, and two small coastal cargo ships have been observed leaving the Persian Gulf. Two of those oil tankers, which crossed on Saturday, are under U.S. sanctions and are currently anchored off Oman near Shinas. The third, a small products carrier, departed Dubai on Thursday and was last recorded exiting the strait on Sunday morning, with its final destination unknown.

Source: IndexBox Market Intelligence Platform