Asia / Pacific

France and?Italy opened talks with Iran on Friday to?negotiate a deal that would guarantee safe passage of?their vessels through?the Strait of?Hormuz. However, Italy denied this report. Since the U.S. began its strikes against Iran on February 28, shipping in the Gulf, and along the Strait of Hormuz - which carries a fifth of all the oil on the planet - has been at a standstill. Global oil prices have soared to levels not seen since the year 2022. The FT reported that France is one of the European nations engaged in talks with Tehran while Italy sought to contact the...

JPMorgan stated in a Friday note that the crude oil supply cut is on track to hit 12 million barrels of oil per day. This will intensify deficits on physical markets, as tanker movement through a key Middle Eastern waterway faces a two-week interruption. The bank stated that "Commercial Tanker Traffic remains extremely Limited, with most vessels currently Iranian and likely heading to China." It added that although cargoes departing the Gulf prior to the shutdown are still arriving but new shipments have mostly stopped. Supplies to Asia could run out next week while Europe bound flows are likely stop...

International Energy Agency stated that the closing of the Strait of Hormuz caused the biggest disruption in global oil markets history. The agency said supply is expected to drop by around 8 million barrels per day or 8% in March. In response, the member countries of the agency agreed to release 400 million barrels from their strategic stockpiles in order to stabilize oil prices and compensate Middle East production loss. Here's a list of previous oil supply disruptions: The 1973-1974 Arab Oil Embargo The Arab oil embargo was initiated by the Yom Kippur War which began in October '6, '1973,...

Iran's Shiite allies from Lebanon and Iraq joined the regional war sparked by U.S.-Israeli?strikes against Tehran. Yemen's Houthi Rebels, who are heavily armed, and can strike Gulf neighbours?and cause major disruptions to maritime navigation in the Arabian Peninsula have yet to join the fray. This is why: Who are the Houthis? Houthis is a military?and?religious?movement led by the Houthi?family and based in north Yemen. They are Shi'ite Muslims who belong to the Zaydi Sect. After the "Arab Spring", the Houthis expanded their power, and developed closer ties to Iran. The group took advantage of the instability in the country to...

The Russian government sees the lifting of U.S. sanctions on its oil as an attempt by Washington to stabilize global energy markets. Washington's waiver of sanctions on Russian oil is an effort to stabilize global energy markets. The two countries share a common interest in this. Treasury Secretary Scott Bessent announced that the United States had granted a 30-day exemption to 'countries' to purchase Russian oil and petroleum product currently at sea. This was done to stabilize global markets roiled by Iran War. Peskov stated that stabilisation of the market is impossible without a significant volume of Russian oil entering...

German Economy Minister Katherina Riese stated on Friday that she could see both sides of the United States' decision to issue a 30-day waiver for purchases of Russian oil products. Reiche said at a press conference that he felt the domestic political pressure was very high in the United States. She stated that she is concerned with filling the war coffers of Russian President Vladimir Putin, but that the situation in South Korea, and Japan, are tense. "We have thankfully been spared these shortages," said?Reiche. She said that attacks on ships in Strait of Hormuz continue, and the International Energy...

An official from the?industry?ministry said that Japan would consider buying Russian crude oil after the U.S. granted a 30-day waiver of?sanctions amid the Iran War, taking into account international conditions and its own?national interest. The U.S. waiver permits countries to purchase sanctioned Russian crude oil and petroleum products that are currently stranded on the sea. Treasury Secretary Scott Bessent described this as a move to stabilize the global energy market, which has been?roiled by Iran's war. Narumi hosokawa, the deputy general-director of the Ministry of Economy, Trade and Industry's (METI) immediate crisis management, said, "We will examine the issue in...

Brazil's government has scrapped diesel taxes and imposed a tax on oil exports. The move, which was made on Thursday, could affect the state-run Petrobras as it tries to ease the impact of recent global oil price spikes. The administration of President Luiz inacio da Silva said that the temporary measures will reduce the impact on local fuel prices caused by price swings resulting from the U.S./Israeli war against Iran. The South American nation cut the PIS federal tax and Cofins federal tax levied on diesel to zero. It also imposed a 12 percent tax on crude oil and a...

An official said on Thursday that Nepal would begin rationing cooking gas due to fears of a possible nationwide shortage caused by the Middle East conflict. Chandika Bhatta, executive Director of the state-run Nepal Oil Corporation said that authorities will only refill half of empty cylinders of consumers starting Friday in order to extend the life of its liquefied petrol gas (LPG). The shortage of liquefied petroleum gas (LPG) is due to the U.S. and Israeli war against Iran, and Tehran's response across the region. This has effectively stopped shipping through the Strait of Hormuz. Bhatta said that despite assurances...

South Korea's Parliament passed a special law on Thursday that will pave the way for Seoul to fulfill its $350 billion commitments in strategic U.S. industry under a trade agreement?agreed?last year. The law implements the trade agreement signed by South Korea in November, under which it agreed to invest $150 billion into shipbuilding and $200 billion in strategic industries in the United States in exchange for more favorable tariff terms. In a Thursday plenary meeting, the National Assembly approved it with bipartisan backing. The legislation is expected to be in force within three months. It will form the basis for...

Gulf officials said that three Gulf states were reviewing the way they invest trillions of dollars from their sovereign wealth funds to offset the losses caused by the U.S. and Israeli war against Iran. The official who spoke on condition of anonymity said that the review could include divestments, reversals of investment pledges, and a reevaluation of global sponsoring deals. This is because the oil and gas-rich states are assessing how to deal with the financial shock. The top four economies of the Gulf Cooperation Council are Saudi Arabia, Qatar and Kuwait. Three of the four largest economies in the...

Australian Energy Minister Chris Bowen announced on Thursday that the country will temporarily relax fuel quality standards during the next 60-day period, as the Iran war is choking 'oil supplies and sending prices soaring. The move would allow fuels to contain up to 50 parts-per-million of sulphur, instead of the normal 10 parts-per million. He said that under the new relaxation, 100 million additional litres of gasoline per month will be allowed to enter the country. This will ease price pressures and fuel will be directed towards regions with a shortage. Ampol, a fuel refiner and retailer, is the company...

Aluminum fell on Friday as the dollar gained strength, but shipping disruptions due to the ongoing Middle East conflict kept it on track for a weekly rise. Open outcry official activity showed that benchmark three-month aluminum?on London Metal Exchange was?down by 0.9% to $3,485.50 a metric ton. The metal was set to finish the week with a 1.3% gain after reaching a near four-year high Thursday. Last week, the metal jumped 10%. Tom Price, Panmure Liberum's analyst, said that the dollar was "the biggest mover." The dollar rose to its highest level in more than three months on Friday, as...

Benchmark Mineral Intelligence's (BMI) data on Friday showed that global EV registrations dropped 11% in February. This was largely due to China, which saw its?largest? drop of sales since the COVID-19 epidemic began early 2020. China, as governments around the world slowed down policies to encourage the purchase of electric vehicles, has stopped funding auto trade-ins. A tax exemption for EV purchases expired in China at the end last year. BMI reported that China, the world's biggest EV market, saw a 32% drop year-on-year in battery-electric and plug-in hybrid registrations in February. This is a proxy measure of sales. This...

The gold discounts in India reached their deepest level in nearly a decade this week as the demand remained'subdued' and some traders avoided paying import duties. Meanwhile, escalating Middle East conflict boosted demand for safe havens in China. "A few importers to India are declaring gold as platinum studded jewellery at customs, even though it contains over 90% gold. A Mumbai-based gold dealer said that they are able sell the duty-free gold at a steep discount. Imports of gold are subject to a 6% duty. However, imports of platinum-studded jewellery can be made duty-free. This week, Indian gold dealers offered...

The price of iron ore futures rose for the third session in a row on Friday, as expanded restrictions on cargoes by mining giant BHP caused concerns about supply. These were further exacerbated by expectations that?hot metal production would increase in?China. As of 0318 GMT, the most-traded?contract? for May iron ore on China's Dalian Commodity Exchange climbed by 3.22% to 818.7 yuan (118.87 dollars) per metric ton. Earlier in the session, the contract reached a high of 827 Yuan for two months. The benchmark iron ore for April on the Singapore Exchange rose 0.7% to $108.6 per ton. Both contracts...

China has increased its 'ban on BHP Iron Ore for the second time in just two weeks. This is a result of a contract dispute that has been ongoing for months with the third largest supplier of this key ingredient to steelmaking. Three sources familiar with the situation said that China Mineral Resources Group, the state-run buyer of iron ore, told domestic steel mills on Thursday they were prohibited from accepting Newman fines – a popular BHP ore found in ports – starting late next week. According to two anonymous sources, customers will be able to receive their cargoes in...

Australian shares dropped on Friday, as rising oil prices tied to the Middle East conflict fueled inflation fears. Meanwhile, gold miner Northern Star fell after announcing difficulties in achieving its annual production forecast. By 2333 GMT, the?S&P/ASX 200 was?down _0.3%? at 8,611.20. The benchmark index has lost 6.5% in the last two weeks, since the Middle East War began. The oil price rose on Thursday, reaching its highest level in almost four years. This was due to Iran's increased attacks on oil and transportation facilities throughout the Middle East. Markets projected a 78% probability of an increase at the Reserve...

Benchmark Mineral Intelligence's (BMI) data showed that global EV registrations dropped 11% in February. This was largely due to China's biggest?sales?drop since early 2020 when the COVID-19 epidemic began. China, which has been slackening its policies to encourage the purchase of electric vehicles, has stopped funding auto trade-ins. A tax exemption on EVs in China expired at the end last year. BMI reported that China,?the largest EV market in the world, saw a 32% drop in battery-electric car registrations and?plug in hybrid vehicle sales in February, a proxy measure of sales. This dropped to less than 500,000 cars. This is...

Aluminum prices reached their highest level in almost four years on Thursday, as fears of a tighter supply for 'Europe and other areas' grew. The Middle East conflict is disrupting shipments through the Strait of Hormuz. The benchmark three-month aluminum on the London Metal Exchange increased 0.6% by 1111 GMT to $3,478.50 per metric ton after reaching $3,546.5. This was its highest level since late March 2022. The Middle East war has disrupted the deliveries of alumina and other raw materials to aluminium producers in the region. Norsk Hydro, a Norwegian company, announced on Thursday that its Qatalum aluminum smelter...

Norsk Hydro announced on Thursday that its 'Qatalum' aluminium smelter, located in Qatar, would halt the curtailment begun last week. Production will be maintained at around 60% of capacity with reduced natural gas supplies. Qatalum - which has an annual smelting capability of 648,000 tons - began a controlled shut down on March 3, after it was informed that the gas supply would be cut off. QatarEnergy, a state-owned company, announced the day before that it would halt?LNG output after Iranian drones attacked its facilities. Hydro released a statement saying that Qatalum had decided to stop further curtailment after receiving...

BMW warns that it will not see any relief from the ongoing tariff costs in China and intense competition. The company warned on Thursday about a modest decline in its pre-tax earnings in 2026 and a stagnation of deliveries. BMW's rivals Volkswagen, Mercedes and Audi also reported a weaker 2025 due to trade barriers and falling China sales. They also made mistakes with electrification as the market demand for electric vehicles diverged in key markets. The outbreak of war in the Middle East has roiled nerves, fueling supply chain concerns and driving up fuel prices. It also threatens?demand, which is...

China has increased its ban on BHP iron ore a second time in two weeks. This is a result of a contract dispute that's been ongoing for months with the world's third-largest supplier. Three sources familiar with the matter said that China Mineral Resources Group (CMRG), the state-run buyer of iron ore, told domestic steel mills on Thursday they were prohibited from taking Newman fines – a popular BHP type of?iron stored in ports – as of next week. According to two sources, however, customers will still be able to receive their cargos in 'the next five days'. Due to...

Aluminum prices continued to rise on?Thursday. They were boosted by lingering fears about a tightening of global?supply in the midst of the Middle?East Conflict that shows?no sign?of easing. The Shanghai Futures Exchange's most traded aluminium contract closed the daytime trading up 0.38% to 25,240 yuan (US$3,669.56) a metric tonne. The benchmark three-month aluminum contract on the London Metal Exchange rose 1.32%, to $3,502.50 per ton. This is close to a four-year high of $3,544 that was reached earlier this week. Supply fears have been sparked by the war in the Middle East. This?region accounts for around 9 percent of global...