{
  "id": 4502279,
  "title": "Middle East tanker spree stokes VLCC glut fears as 2028–2029 deliveries loom",
  "url": "https://urgent.news/2026/08/30/middle-east-tanker-spree-stokes-vlcc-glut-fears-as-2028-2029",
  "topic": "business",
  "section": "Business",
  "published": "2026-08-30T21:00:54.000Z",
  "source": {
    "name": "Hellenic Shipping News",
    "slug": "hellenic-shipping-news",
    "url": "https://www.hellenicshippingnews.com/middle-east-tanker-spree-stokes-vlcc-glut-fears-as-2028-2029-deliveries-loom/"
  },
  "original_language": "en",
  "account": "The Middle East conflict has triggered a surge in demand for very large crude carriers (VLCC), leading to concerns about a potential tanker market glut. In the first half of 2024, 177 VLCCs were contracted for new construction worldwide, with a total deadweight tonnage (DWT) of 54.5 million DWT, surpassing the previous record set in 2006. The construction price for these massive tankers, which can carry approximately 2 million barrels of oil each, has exceeded $130 million per ship, marking the most expensive level since 2008.\n\nThe surge in VLCC orders is attributed to Middle Eastern oil-producing countries attempting to secure their own vessels due to disrupted operations in the Strait of Hormuz. This move aims to ensure the continued export of crude oil despite the ongoing war. However, this boom in VLCC ordering raises concerns about a future supply glut when these vessels are delivered in 2028-2029, as it could lead to oversupply and decreased vessel profitability.\n\nCurrently, the VLCC order backlog exceeds 310 ships, with 60 scheduled for delivery in 2027, 127 in 2028, and 125 in 2029 and beyond. This ratio of orders on hand to the currently operating VLCC fleet has surged to 35%, indicating a potential imbalance in the market. Shipping experts suggest that this boom, while slightly better than the 2004-2008 boom, could still have negative consequences for the tanker industry if it continues unchecked.",
  "summary": "As the boom in the very large crude carrier (VLCC) market has continued this year on the back of the Middle East war, some are raising concerns about a supply glut in the tanker market. VLCC newbuilding orders have surged to a record high this year and prices have soared, as tanker rates jumped and ...",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 5,
    "also_reported_by": [
      {
        "outlet": "Hellenic Shipping News",
        "title": "Iran warns of military ship ban in Hormuz under potential deal with Oman, and other Middle East news",
        "url": "https://urgent.news/2026/08/27/iran-warns-of-military-ship-ban-in-hormuz-under-potential-deal-with",
        "published": "2026-08-27T21:00:41.000Z"
      },
      {
        "outlet": "CNBC World",
        "title": "Iran links Hormuz reopening to ending regional wars as Trump reportedly rejects return to June deal",
        "url": "https://urgent.news/2026/08/28/iran-links-hormuz-reopening-to-ending-regional-wars-as-trump",
        "published": "2026-08-28T02:35:15.000Z"
      },
      {
        "outlet": "Gulf News",
        "title": "US declares Hormuz mine-cleared as Qatar, Iran seek de-escalation and new carrier heads to Middle East",
        "url": "https://urgent.news/2026/08/28/us-declares-hormuz-mine-cleared-as-qatar-iran-seek-de-escalation-and",
        "published": "2026-08-28T03:52:57.000Z"
      },
      {
        "outlet": "Private Equity Wire",
        "title": "PGIM expands Middle East secondaries business with senior hire",
        "url": "https://urgent.news/2026/08/28/pgim-expands-middle-east-secondaries-business-with-senior-hire",
        "published": "2026-08-28T08:05:38.000Z"
      }
    ]
  },
  "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."
}