The International Maritime Organization will begin evacuating more than 11,000 seafarers stranded in the Middle East after the US and Iran agreed to an interim peace deal, signaling the first tangible step toward normalizing traffic through the Strait of Hormuz.
The International Maritime Organization will begin evacuating more than 11,000 seafarers stranded in the Middle East after the US and Iran agreed to an interim peace deal, signaling the first tangible step toward normalizing traffic through the Strait of Hormuz.
The International Maritime Organization said it secured safety guarantees to evacuate more than 11,000 seafarers still stranded across the Middle East, the first operational consequence of last week's US-Iran interim peace deal. The agency has been working on the evacuation plan for months but lacked the security assurances needed to proceed.
"This operation is the result of intensive diplomatic engagement with all parties to ensure safe passage for crew who have been trapped for months," Arsenio Dominguez, secretary-general of the IMO, said in a statement. The agency will coordinate with Iran, Oman, other regional states, the US and international shipping companies to carry out the evacuation.
The plan covers hundreds of vessels that have been unable to transit the Strait of Hormuz since late February, when US and Israeli strikes on Iran and Tehran's subsequent blockade effectively shut the waterway. Traffic has begun recovering — 71 ships passed through between Friday and Sunday, according to data provider Kpler, though that remains well below the pre-conflict average of 100 to 130 vessels daily. Trump said 19 million barrels of oil moved through the strait on Monday, calling it a record.
The reopening of the strait, which handles about a fifth of the world's oil supply, carries enormous economic stakes. VLCC earnings have surged to nearly $470,000 a day as tight vessel supply collides with expectations of a rebound in Middle Eastern crude exports. Daily hire rates for tankers operating outside the strait have climbed to about $190,500, up from $106,500 a week earlier, according to shipbrokers. Brent crude and WTI have extended losses on expectations of improved supply, with the US Treasury temporarily lifting sanctions on Iranian oil for 60 days through Aug. 21.
Oil Markets Recalibrate as Supply Returns
The 60-day sanctions waiver allows Iran to produce, sell and deliver crude and petrochemical products with fewer restrictions, potentially unlocking significant supply. China, already the largest buyer of Iranian oil despite sanctions, stands to benefit from being able to purchase and pay for Iranian crude more directly. Iran is expected to use the window to secure long-term oil and petrochemical contracts, though the waiver's extension will depend on progress in broader diplomatic talks.
The impact is already visible in regional trade flows. India's liquefied petroleum gas imports — used primarily as cooking fuel — fell to 696,000 tons in April during the blockade but rebounded to 1.15 million tons in May, government data show, as vessels began moving again.
Diplomatic Fragility Remains
Despite the progress, significant fault lines persist. Iran has publicly contradicted US claims that it agreed to allow International Atomic Energy Agency inspectors to examine nuclear sites bombed by the US last year. Tehran also disputed Washington's assertion that unfrozen assets would be placed under US- and Qatari-supervised arrangements, insisting it alone decides how the funds are spent.
The last time the Strait of Hormuz faced a sustained disruption was during the Iran-Iraq war in the 1980s, when the Tanker War saw dozens of vessels attacked and shipping volumes drop sharply. The current situation has been shorter but more severe in its impact on crew welfare, with seafarers stranded aboard ships for months without relief.
Oman and Iran said Tuesday they would study the future administration of the strait through a joint working group, insisting on their sovereignty over the waterway. Meanwhile, US Secretary of State Marco Rubio began a three-country Gulf tour to reassure Arab allies uneasy that the deal could strengthen Tehran and reshape the regional security balance.
This article is for informational purposes only and does not constitute investment advice.
