The global tanker freight markets experienced mixed movements this week, with LR2s and VLCCs posting solid gains, while MR rates saw sharp corrections, particularly in the US Gulf. Suezmaxes held firm, and Aframaxes displayed varied trends across regions.
Product Tankers
LR2
Middle East Gulf (MEG) LR2s continued their steady climb. The TC1 75kt MEG/Japan index rose from WS150.28 to WS156.78, while the TC20 90kt MEG/UK-Continent trip gained $259,375 to reach $4.23 million. West of Suez, Mediterranean/East LR2s also advanced, closing $213,000 higher at $3.19 million on a TC15 Baltic description voyage, lifting the Baltic TCE above $10,000/day to $11,598/day.
LR1
Following LR2s, LR1s in the MEG strengthened. The TC5 55kt MEG/Japan index gained 7.5 points to WS157.5, while the TC8 65kt MEG/UK-Continent hovered just under $3 million at $2.97 million. In Europe, the TC16 60kt ARA/West Africa index improved modestly from WS115.63 to WS119.88.
MR
MRs were volatile this week. In the MEG, the TC17 35kt MEG/East Africa index climbed mid-week to WS234.29 before slipping back to WS215.36. The UK-Continent market was stable, with the TC2 37kt ARA/USAC rising slightly by 2.81 points to WS116.56, lifting the Baltic TCE to $8,914/day.
However, US Gulf MRs corrected sharply:
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TC14 USG/UKC plunged 77.86 points to WS172.14, cutting the Baltic TCE by 42% to $21,656/day.
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TC21 USG/Caribbean fell 46% ($634,286) to $737,143, with TCE sliding to $24,656/day.
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TC24 USG/Chile dropped $800,000 to $2.09 million.
The MR Atlantic Triangulation Basket TCE declined from $43,350 to $29,193.
Handymax
Handymax markets were steady. The TC6 Cross-Mediterranean held in the mid-WS130s, while the TC23 Cross-UKC remained flat at WS150.
Crude Tankers
VLCC
VLCCs posted strong gains across the board.
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TD3C MEG/China climbed from WS63.7 to WS70.22, yielding $53,783/day.
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TD15 WAF/China rose to WS69.5, with TCE at $53,222/day.
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USG/China increased over $360,000 to $8.79m, equating to ~$49,300/day, with further rises expected.
Suezmax
The Suezmax sector stayed firm.
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TD20 Nigeria/UKC rose two points to WS108.47, TCE ~$48,200/day.
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TD27 Guyana/UKC slipped to ~WS105, TCE ~$45,600/day.
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TD6 CPC/Augusta remained around WS142.5, delivering ~$72,000/day.
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TD23 MEG/Med held steady at WS100.
Aframax
Aframaxes showed mixed performance.
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TD7 Cross-UKC fell 10 points to just under WS130 (~$40,000/day).
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TD19 Cross-Med dropped four points to WS130 (~$27,100/day).
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Atlantic routes saw slight gains: TD26 ECSA/USG rose to WS162.5 ($38,000/day), while TD9 Covenas/USG improved to just under WS160 ($34,700/day).
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TD25 USG/UKC slipped 7.5 points to WS163.89 (~$40,835/day).
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On Vancouver exports, TD28 Vancouver/China rose $87,500 to $1.875m, and TD29 Vancouver/Pacific Area Lightering gained nine points to WS125.
This week highlighted diverging market dynamics: LR2s and VLCCs showed sustained strength, while MR earnings—particularly in the US Gulf—tumbled from recent highs. Suezmaxes remain firm, and Aframax performance varied regionally. Market participants now look to next week for clarity on whether US Gulf MR softness will persist and if VLCC gains can maintain momentum.
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Source: BALTIC EXCHANGE
