Red Sea disruption redirects Saudi oil flows toward Mediterranean

Two Chinese supertankers carrying a combined 4 million barrels of Saudi Arabian crude are exiting the Red Sea via the Bab el-Mandeb strait, according to Marine News Magazine citing shipping data. The Singaporean-flagged VLCC Xin Long Yang reversed course mid-route on Tuesday and resumed southward passage late Wednesday, part of a broader pattern of vessels avoiding Red Sea transit risks. A Saudi vessel came under attack in the region during the same period, underscoring the persistent threat posed by Houthi operations against commercial shipping.

The rerouting pattern reflects a structural shift in global oil logistics. Supertankers avoiding the Red Sea must transit south around Africa — a journey that adds weeks to voyage time and hundreds of thousands of dollars in fuel and operating costs per voyage. This economic pressure is already forcing shippers to evaluate alternative discharge ports, with Mediterranean terminals — including those serving Genoa, the region's largest container and bulk facility — positioned to capture rerouted cargoes that would otherwise proceed through the Suez Canal to northern Europe or the Atlantic.