Northwest European Tanker Market Holds firm Amid Rising Bunker Costs and Geopolitical Jitters

In the small and intermediate tanker segment, Northwest Europe continued to trade on stability. Routine biofuel movements on cross-ARA routes and toward the UK Continent provided a consistent base of enquiries, broadly balancing supply.

Weather-related delays were reported but remained largely operational, without causing a meaningful tightening of tonnage. As a result, freight levels stayed flat, and cover remained available. Overall, Northwest Europe continues to be characterized by steady flows and functional market conditions, with firmness driven by short-term factors rather than any structural shift.

On another note, rising bunker prices in the ARA region added another layer of caution to the market. Prices climbed steadily throughout January, rising from around $622 to approximately $690, increasing voyage costs and reinforcing a more risk-aware mindset among charterers and owners alike.

Market sources pointed to broader geopolitical uncertainty, particularly concerns around a potential escalation of tensions between Iran and the United States, which has heightened fears of operational disruptions affecting crude and product flows from the Middle East.

While no direct impact has materialized so far, the prevailing sentiment remains cautious, with participants closely monitoring developments and factoring higher fuel costs and geopolitical risk into their near-term trading decisions.

By Selim Jenhani, Shipping & Trading Market Analyst at Riverlake

𝐑𝐞𝐚𝐝 𝐭𝐡𝐞 𝐦𝐚𝐫𝐤𝐞𝐭. 𝐒𝐭𝐚𝐲 𝐚𝐡𝐞𝐚𝐝, 𝐩𝐨𝐰𝐞𝐫𝐞𝐝 𝐛𝐲 𝐑𝐢𝐯𝐞𝐫𝐥𝐚𝐤𝐞.