A surge in supertanker traffic is transforming Saudi Arabia’s Red Sea ports as the kingdom scrambles to bypass Gulf disruptions caused by Iranian strikes. Approximately 30 very large crude carriers (VLCCs), each capable of hauling over 2 million barrels of oil, are en route to Yanbu, a western Red Sea port, according to shipbrokers. This marks a stark contrast to the usual two such vessels monthly, reflecting an emergency response to the near-collapse of Hormuz Strait exports.

The shift follows Iran’s attacks on shipping infrastructure and vessels in the Strait of Hormuz, which previously handled nearly all Gulf oil exports. While Houthis had temporarily halted strikes in the Bab al-Mandab Strait earlier this year, recent Iranian missile threats and Houthi activity have reignited risks. Ships now face dual perils: Houthi targeting in the Red Sea’s southern entry point and Iranian retaliation for rerouting through contested waters. Saudi Aramco plans to export 5 million barrels daily via Yanbu, a 70% increase from pre-crisis levels, leveraging a newly expanded pipeline network to bypass Gulf storage bottlenecks.

Major shipping firms, including Dynacom Tankers and Minerva Marine, are prioritizing Red Sea routes despite heightened volatility. Brokers note these vessels are fulfilling long-term contracts with Asian buyers, primarily China, with smaller volumes destined for India and South Korea. The move underscores a temporary but strategic pivot, as Gulf rivals like Iraq and Kuwait reduce production to alleviate oversupply in regional terminals.

Analysts warn that the Red Sea route adds logistical complexity and costs. While the Suez Canal offers an alternative northern passage, delays and expenses make it impractical for time-sensitive exports. With Iranian threats persisting, the sustainability of this reroute hinges on de-escalation. As one freight analyst stated, ‘Every load port that can take a cargo is being maximised,’ highlighting the fragility of global energy supply chains amid geopolitical tensions. Yanbu’s emergence as a critical export hub signals a temporary but pivotal realignment in Middle East oil logistics.