US President Donald Trump administration is studying the relaxation of sanctions imposed on shadow fleet tankers in an attempt to lower global shipping costs that have surged to record levels, coinciding with escalating disagreements with Ukraine regarding its targeting of
Russian energy facilities. Discussions are focusing, according to an American official speaking to Reuters, on the possibility of allowing previously sanctioned ships to transport legitimate oil shipments, meaning crude oil and petroleum products not subject to US sanctions, rather than
banned Russian and Iranian oil shipments. The discussions include vessels used to transport oil and petroleum products from countries including Russia, Iran, and Venezuela, while the official explained that the goal of the potential move is to facilitate the exit
of more crude oil and refined products from the Gulf region. This means that Washington is exploring the relaxation of restrictions on vessels used in oil transportation, rather than lifting sanctions on the banned crude and petroleum product shipments themselves,
which could allow the use of more tankers in non sanctioned oil trade. These American discussions come at a time when the oil tanker market is facing a severe shortage of available vessels, coinciding with the recovery of oil exports
from the Gulf region and the continuation of navigation disruptions caused by the Iran war. Energy and oil ministers in the OPEC plus alliance warned during a meeting held in Riyadh on Monday on the sidelines of the World Petroleum
Congress that the disruption of energy flows due to the war has raised shipping and insurance costs to unprecedented levels exceeding one third of the value of the commodity, hindering the efficient transport of crude oil and petroleum products and
adding inflationary pressures to the global economy. The ministers emphasized that the exceptional rise in shipping and insurance costs passes through the oil value chain, increasing burdens on producing and consuming countries and affecting global economic growth, stressing the importance
of protecting international maritime corridors to ensure the continued flow of energy. To understand the scale of the rise in shipping costs, it is enough to look at the cost of chartering an oil tanker from the United States to
China, which reached about eighty million dollars, exceeding the cost of launching SpaceX standard Falcon 9 rocket at seventy four million dollars, according to data from ship brokerage firm Gibson. The same amount could have been used to buy a
brand new oil tanker with the exact same specifications earlier this year. The rise extended to ship crew wages, with the Financial Times reporting, citing sources close to tanker owners and crews, that captains of ships operating in the Gulf
could earn about one hundred thousand dollars a month, plus a fifty thousand dollar bonus for each transit of the Strait of Hormuz, compared to a usual captain salary of about fifteen thousand dollars a month. This reflects the mounting
pressures on the shipping market, where the cost of shipping oil on the US to China route has jumped to about forty one dollars per barrel, compared to an average of four dollars and fifty cents per barrel last year,
in light of limited available tankers and the complexities of transporting shipments through the Strait of Hormuz. The study of easing sanctions on ships comes within a series of American moves to lower energy costs, coinciding with the escalation of
the dispute between Trump and Ukrainian President Volodymyr Zelensky due to ongoing Ukrainian attacks on Russian energy facilities. Trump had repeatedly demanded that Zelensky stop targeting Russian facilities and threatened to cut off US weapons supplies to Ukraine to pressure
it to comply with his demands. The US president escalated his tone last Saturday, telling reporters at the White House that he believes the time has come for Ukraine to have a new president, adding that the country needs a
leader who can broker a deal with Russia. Zelensky responded to Trump on Wednesday, saying in an interview with British broadcaster Piers Morgan that it is painful for President Trump to choose one side and not our side. These statements
come after Trump reached an agreement with his Russian counterpart Vladimir Putin to partially ease restrictions on Russian diesel exports in an effort to increase available supplies in global markets and curb rising fuel prices. Under the agreement, more than
three hundred thousand tons of diesel are supposed to be supplied immediately, followed by five hundred thousand tons in November, then one million tons, along with an additional three million tons whose provision depends on the condition of Russian refineries.
Trump also announced on Sunday the achievement of an agreement to temporarily halt the targeting of energy facilities between Russia and Ukraine, writing on his Truth Social platform that both parties agreed and asking them not to break the deal.
Neither party confirmed the truce, and the past two days witnessed intense Russian bombardment, including Ukrainian power plants. The American steps regarding Russian fuel exports drew criticism from Zelensky, European countries, and some Republican members of the Senate, who considered
the move a gift to President Putin that could provide Moscow with additional revenues to finance its war in Ukraine. The intensity of the dispute widened on Wednesday after Zelensky accused Trump and Elon Musk of restricting the Ukrainian army
access to SpaceX satellite services, which, according to the Ukrainian president, affected his country forces ability to intercept Russian drones. Zelensky said in the interview that he believes the restriction of services was deliberate, considering it a major mistake. Musk
responded to these statements, saying that any restrictions on speed or use are decided by the US military and the president, and that Starshield systems are owned by the US government and subject to its control. These developments coincided with
discussions inside the White House regarding the possibility of curtailing intelligence sharing with Kyiv, according to what Semafor reported from an unnamed US official, without reaching a consensus on the move. Trump had confirmed on Tuesday the continuation of intelligence
sharing with Ukraine. The Trump administration is facing internal political pressure due to rising energy prices and the cost of living ahead of the midterm congressional elections on November 3, prompting it to look for ways to increase supplies and
lower prices.
