S&P and Newbuilding Weekly 16 October 2026

This week, the tanker market experiences potential disruption as the White House considers loosening sanctions on shadow fleet vessels amid rising fuel prices. Approximately 16 per cent of the global crude fleet remains under US sanctions, which complicates the likely effect on rates, given the high tanker rates driven primarily by the Iran conflict. Despite this, tanker asset values remain strong, highlighted by recent sales such as the VLCC 'SOUTHERN EMPEROR' at USD 110 million, while newbuilding activities are dominated by tankers with Hengli reporting sales at significant prices for deliveries in 2028 and 2029. The dry bulk sector also shows resilience, particularly for Japanese-built smaller sizes, with Ultramax values holding firm amid competitive market conditions.