Saudi Pipeline Restart Fails to Ease Oil Market Tightness as Freight Costs Soar

Saudi pipeline flows have resumed, but the market remains tight as freight costs for VLCC tankers hit record highs, driven by US-Iran conflict risks that have stranded Gulf vessels and created a global shortage of long-haul ships. The surge in daily earnings on Gulf-to-China routes indicates persistent supply chain stress, suggesting that the pipeline restart has not alleviated underlying oil market tightness.