The global shipping industry is facing significant challenges in sourcing bunker fuel following disruptions caused by the conflict between the US, Israel, and Iran. Ships have encountered extended waiting times and longer voyages to secure fuel, with some vessels forced to wait up to two weeks or divert to alternative ports hundreds of miles away, industry executives report.

Semiramis Paliou, CEO of Diana Shipping, one of the largest dry bulk shipping companies worldwide, noted that her firm had twice redirected vessels from Japan to Korea in recent weeks to meet fuel needs. “Our charterers are not always able to find the quantities [of fuel] that they are looking for or at the ports that the ships would be sailing to,” she said.

Costas Delaportas, CEO of Athens-based DryDel Shipping, echoed these concerns. He highlighted delays in refueling at major bunkering hubs such as Singapore and Fujairah, with vessels waiting between 10 to 12 days—compared to the typical two to three days—to replenish fuel supplies. Delaportas also described situations where ships received only about 60 percent of the lubricant supplies ordered. To cope with shortages, his company has had to reroute ships to ports like Singapore instead of closer options like East India.

These disruptions have stemmed from the heightened tensions and military actions in the Middle East, which have altered established supply chains and shipping routes. In particular, Fujairah, located near the Strait of Hormuz on the Gulf of Oman, has been severely affected. Previously ranked as the world’s third-largest refueling port, Fujairah has experienced a shortage of very low sulphur fuel oil (VLSFO), a widely used bunker fuel. This shortage is linked to interruptions of feedstock imports and reduced supply from Kuwait’s al-Zour refinery. Siew Hua Seah, head of marine fuels pricing at energy pricing agency Argus, confirmed that most major bunker suppliers in Fujairah have paused operations for the first half of June.

The conflict has also pushed freight rates for oil tankers carrying crude and refined products to record levels, while bulk carriers that transport commodities such as iron ore and grain face rising operational costs, including fuel and crew transport expenses.

Although Iran and the US recently reached a peace deal that President Donald Trump said would ensure safe passage through the Strait of Hormuz, shipping industry leaders warn that disruptions are likely to continue for several months. Executives expect ongoing adjustments as vessels relocate away from the Gulf region and supply chains are reconfigured to adapt to the new geopolitical landscape.