{
  "id": 18437699,
  "title": "Revealed: The hidden cost of the oil price spikes",
  "url": "https://urgent.news/2026/11/06/revealed-the-hidden-cost-of-the-oil-price-spikes",
  "topic": "world",
  "section": "World",
  "published": "2026-11-06T03:58:38.000Z",
  "source": {
    "name": "Gulf News",
    "slug": "gulf-news",
    "url": "https://gulfnews.com/business/energy/revealed-the-hidden-cost-of-the-oil-price-spikes-1.500737881"
  },
  "original_language": "en",
  "account": "The cost of shipping Middle Eastern oil to East Asia has skyrocketed, adding nearly $50 per barrel to transportation expenses, according to OPEC data. While crude oil prices are a crucial factor, freight and insurance costs have surged nearly 12-fold, with shipments from the Middle East to East Asia becoming dramatically more expensive in just nine months. Tanker freight rates jumped from $3.18 per barrel in January to $37.13 in October, while marine insurance costs soared from $0.06 to $12.29 per barrel, representing a significant increase in moving oil from producing regions to major consuming markets. The surge has transformed the economics of oil transportation, with freight and insurance now accounting for 30% of total crude oil costs along the route, up from just 5% in January. This added pressure on energy markets and consumers as oil-importing countries face higher costs, fuel prices face additional pressure, and inflation risks increase. Asian economies, particularly those heavily dependent on Middle Eastern crude, are facing significant implications with elevated transportation and insurance expenses potentially keeping delivered oil prices high even if international crude benchmarks stabilize or decline.",
  "summary": "Shipping Middle East oil to East Asia has become dramatically more expensive, with freight and insurance adding nearly $50 per barrel to transportation costs, OPEC data shows. The real cost of the global oil shock is no longer measured by crude prices alone. Here's why: Oil prices now go beyond the published forward contract delivery rates of crude oil: tanker freight and insurance costs have…",
  "key_points": [
    "Freight and insurance costs surged 12-fold in nine months.",
    "Tanker freight rates jumped from $3.18 to $37.13 per barrel.",
    "Marine insurance costs rose from $0.06 to $12.29 per barrel."
  ],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}