Strait of Hormuz Tanker Traffic Hits Three-Month Low

Only two commodity tankers transited the Strait of Hormuz on Monday, marking the lowest daily number recorded since early May, according to shipping data from Kpler.

Both vessels entered the Gulf from the Gulf of Oman, including one very large gas carrier and one very large crude carrier. This figure fell sharply below the 10-day daily average of 14 vessels. Preliminary figures from Vortexa estimated Monday's oil flows through the strategic waterway at five million barrels per day, with the seven-day moving average standing at six to seven million barrels per day as of August 23.

US Treasury Secretary Scott Bessent unveiled expanded US sanctions on Monday, aimed at cutting off Iran's economic lifeline. Bessent warned that countries continuing to trade with Iran risked losing access to the dollar-based financial system. Iran vowed to retaliate against these expanded sanctions, while expressing confidence that its major trading partners would resist Washington's pressure campaign.

Before the conflict, the Strait of Hormuz carried about a fifth of global flows of crude oil and liquefied natural gas. Xavier Tang, a senior market analyst at Vortexa, noted that if conflict in the region escalates or vessels are attacked, Hormuz transit could be affected. On Monday, 30 vessels transited Bab el-Mandeb, another key chokepoint on the opposite side of the Arabian peninsula, which was broadly in line with the ten-day average.

Oman's Foreign Minister Sayyid Badr Albusaidi is expected to visit Tehran on Tuesday amid ongoing talks between Iran and Muscat over the Strait of Hormuz.