Impact of Iran-US conflict on global shipping rates

The conflict between Iran and the United States has caused significant divergence in the global shipping market. Oil tanker spot rates have surged, with some reaching as high as $770,000 per day, as over 10% of the global VLCC fleet remains trapped near the Strait of Hormuz. Notable Greek shipowners, including George Prokopiou, Maria Angelicoussis, Petros Pappas, and Epaminondas Embiricos, have secured record contracts despite the risks. Recent incidents include the Star Gwyneth, owned by Star Bulk Carriers, which suffered material damage in an attack. Conversely, the dry bulk shipping sector has experienced a decline, with daily rates falling from approximately $29,400 on February 26, 2026, to $20,400, a decrease of 27.4%. Major mining companies such as BHP and Rio Tinto have seen freight rates for cargo drop below pre-war levels of $10.25 per ton. Furthermore, no new shipping contracts have been recorded for Brazil-China and West Africa-China routes since February 27. Insurance premiums for war risks have also increased as companies navigate the volatile geopolitical environment.