This week’s “Splash Wrap” reflects a shipping industry that is clearly under sustained tension, with multiple pressure points emerging at the same time across geopolitics, regulation, and technology.
One of the biggest stories comes from Iran, which is reportedly trying to rethink how the Strait of Hormuz is governed. The idea being discussed is an insurance-based system that would essentially formalise a stronger Iranian role over the passage. On top of that, every vessel would have to submit detailed cargo declarations to a new maritime authority before being allowed through. Iran is also in talks with Oman about introducing a transit fee for ships crossing the strait, which adds another layer of complexity to an already sensitive corridor.
Maritime intelligence firm Windward noted that three VLCCs moved outbound through the strait on Wednesday, and described it as one of the clearest signs yet that shipping patterns in the area may be becoming more structured or coordinated. With tensions now dragging on for twelve weeks without any real resolution, there is growing concern that the commercial flow through the region is slowly being reshaped by geopolitical pressure rather than pure market logic.
On the ground, the human reality of this situation is also coming through strongly. Captain Mohit Kohli shared his experience of spending two months stuck on a container ship inside the Persian Gulf. His account paints a very tense picture of daily life at sea, with missile threats, drone activity, and constant uncertainty. As he put it: “From the bridge, the horizon was no longer just sea and sky. It was a theatre of uncertainty.” It captures quite well how far the situation has moved beyond normal commercial shipping conditions.
Meanwhile, pressure isn’t limited to the Middle East. The Panama Canal is also seeing rising strain as traffic increases, bringing congestion back into focus. It’s another reminder that several key chokepoints are feeling the effects of wider geopolitical and economic instability at the same time.
In a major legal twist for the industry, the United States Department of Justice has indicted four of the world’s largest container manufacturers, along with seven executives. The accusation is serious: a cartel-like structure that allegedly pushed the price of standard dry containers up to twice their normal level over four years. One company is also reported to have seen profits multiply nearly one hundred times during the COVID period, raising major questions about how pricing power has been exercised in global logistics during that time.
On the corporate side, Aga Nagarajan, a well-known name in shipmanagement, has stepped into a new chapter after almost 30 years at Fleet Management in Hong Kong, including time as executive director. He is now building his own platform in Singapore through Nura Shipco Management, continuing a trend of senior industry figures launching independent ventures.
In the technology and fuel transition space, Swiss engine specialist WinGD has secured the first orders for ethanol-fuelled engines designed for deep-sea shipping. The X-DF-M/E engines will be installed on two ore carriers being built in China for Shandong Shipping Corporation, under long-term charter to mining giant Vale. It’s another small but important step in shipping’s slow shift toward alternative fuels.
And finally, with Posidonia coming up soon, the industry is already looking back at what was discussed at Geneva Dry to get a sense of what might dominate the agenda in Athens. Splash has put together a recap of the main themes, along with a podcast that helps set the tone for what the market conversation is likely to focus on next.
