Latest News
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Sources say that some oil loading operations have been suspended following a fire in Fujairah.
After a fire broke on Saturday, some?oil-loading operations were suspended in the?Fujairah, an emirate of the United Arab Emirates, which is a major bunkering center. According to the media office of the emirate, debris fell from a drone during its 'interception.' However, no injuries have been reported. The civil defence forces are tackling the incident to contain it, according to the statement. The authorities did not give any information about the reported suspension of operations. Bloomberg News reported earlier that certain oil-loading activities in the port of Fujairah outside the Strait of Hormuz had been suspended following a drone attack. ADNOC (the state-owned oil company of Abu Dhabi) did not respond immediately to a comment request. ADNOC shut down its Ruwais refinery on Tuesday in response to an incident that occurred at a facility in the complex after a drone strike. This was done to prevent further disruption to energy infrastructure due to the U.S. and Israeli war against Iran. Source: (Reporting and editing by Sarah El-Safty and Jaidaa Verma, and Gareth Jones and Toby Chopra)
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Reeves: UK considers targeted support for householders as energy costs rise.
In an interview with?Saturday, Finance Minister Rachel Reeves stated that the British government was looking at providing "targeted support" for the poorer households in order to offset the impact of the rising energy costs caused by the conflict?in the Middle East. Reeves, a Times reporter, said that the government is looking into?options? to help those affected by sharp increases in energy prices. This includes those households who rely on heating oil. However, he ruled out a universal program for all homes, stating it would not be affordable. Labour, which is trailing the populist Reform UK Party in the polls, has been under pressure by opponents to cap the regulated household energy tariffs, due to be reviewed in late May, and to cancel a planned increase in vehicle fuel duty in September. "I've found the money, and we have worked with MPs and others to develop a response for those who aren't protected by the cap on energy prices. "We're providing greater support for those who are in need," she said of the plan to assist households that rely on heating oils. In Britain, more than a million households use?oil as a heating fuel. This is especially true in rural areas without access to gas grids. In Northern Ireland, almost half the households use only oil as a fuel. HEATING OIL USERS WILL SUFFER A LARGER PRICE SHOCKWAVE The government's energy price cap does not cover heating oil, so consumers are more vulnerable to fluctuations in oil prices. Reeves said to the Times that Treasury is modeling different scenarios depending on the length of the Iran conflict, including "more focused options" for support. She said: "I'm?concerned about how high our debts are, given the debt we inherited. And?so, I want to?look at the different options that would be available." The Times reported that Reeves will use his speech on Tuesday to?not only address energy issues but also call for a?closer alignment to the European Union's single market in order to boost growth. She told the paper that Brexit was bad for her country's growth and for prices at the shops. "It has been almost 10 years since the Leave vote. The ship may have sailed, but we still have a lot to do to improve our trade relations. We should align ourselves where it is in our national interests. (Reporting and editing by Toby Chopra, Louise Heavens, and Michael Holden)
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JERA's exec claims that there is no immediate shortage of LNG in Japan, but they are currently in negotiations for additional supply.
JERA, Japan’s largest power generator, is not facing a shortage of liquefied gas, despite the U.S. and Israel’s war against?Iran. However, JERA is in talks with long-term suppliers about possible additional supplies, according to a senior executive on Saturday. Global CEO Yukio KANI said that Japan's biggest LNG buyer, Global, handles around 35 million metric tonnes of super-chilled gas annually. Around 27 million tons of this fuel are used in Japan, with about 5% passing through the Strait of Hormuz. Iran has disrupted the shipping in the'strait', which is a conduit for 80% of the world's fossil fuel?supplies. Kani, speaking to reporters at the Indo-Pacific Energy?and Business Forum, said that there is no immediate LNG shortage. However, the team of the company is exploring the possibility of additional purchases with global suppliers, with whom JERA has long-term contracts. He warned that the 'Iran Crisis' may not end soon. If the crisis worsens, and the Strait of Hormuz is closed, it may be necessary to consider working with the Japanese government on measures like asking consumers to conserve energy or restarting coal-fired power plants. (Reporting and editing by William Mallard; Yuka Obayashi)
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Kharg Island, which was struck by the US, is a key hub for Iran's oil exports
Kharg Island is the center for 90% of Iran’s oil exports. It has been viewed as a key vulnerability by Tehran and would prompt a severe response if attacked. Donald Trump stated on social media that the U.S. had "totally destroyed every MILITARY Target" on Kharg. He also threatened to target oil infrastructure if Iran continued to interfere with shipping through the Strait of Hormuz. Iran has increased its oil production in preparation for the launch of Israel's and the U.S.'s war on February 28, and continues to ship between 1.1 and 1.5 million barrels of oil per day according to data from TankerTracker.com. The markets were watching for any signs that Kharg's complex network of terminals, pipelines and storage tanks had been damaged by the strikes. Even minor disruptions can further restrict global supply and add?pressure to a volatile market. Dan Pickering is chief investment officer at Pickering Energy Partners. He said: "If you remove Kharg infrastructure from the market, 2 million bpd will be permanently removed. Iranian media reported that Iran's armed force said on Saturday that any attack against Iran's oil or energy infrastructure would lead to attacks against energy infrastructure owned by oil companies cooperating in the region with the U.S. "I am very worried that it raises the temperature, and Iran has less to lose. It seems to escalate. When Iran is pushed into a corner, it will act with greater confidence. This was the opinion of Patrick De Haan an analyst at U.S. fuel prices tracker GasBuddy. Iran has almost completely shut down shipping through the Strait of Hormuz. Through this channel, 20% of world oil is transported, mainly to Asia. Key Supply Source for China Kharg is located 16 miles (26km) off the coast of Iran, approximately 300 miles (483km) northwest of Strait of Hormuz. The waters are deep enough for tankers to dock that would otherwise be too large to enter the shallow coastal waters of the mainland. China is the largest crude importer in the world and has taken measures to protect its supply amid the Middle East disruptions. According to tanker tracking company Kpler's data, Iranian oil accounts for 11.6% (or a total of 16,000) of China's seaborne imported goods so far this season. Most are bought by independent refiners who were attracted to the deeply discounted prices because of U.S. Sanctions on Tehran. Kpler data indicates that Iran exported 1.7m bpd of crude oil so far this season, with 1.55m bpd being shipped via the?Kharg. Kpler data revealed that Iran's exports had risen to 2.17 million barrels per day in February, before the war. The data revealed that it shipped a record 3,79 million bpd during the week ending February 16. Kharg's storage capacity is approximately 30 million barrels. It held about 18 million barrels as early March according to Kpler data cited in a JP Morgan Report. According to TankerTrackers.com, satellite images reviewed on Wednesday showed that multiple very large crude oil tanks were loading in Kharg. Iran is the third largest OPEC oil producer, producing about 4.5% global oil supply. Iran produces about 3.3 millions bpd crude oil, plus 1.3million bpd condensate.
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Westinghouse: US and Japan agree on roles in nuclear power project
Dan Lipman, the president of global business initiatives for 'Westinghouse', said that Japan and the United States have reached an agreement on their respective responsibilities in a possible?joint project between Westinghouse and Japanese manufacturers of nuclear power equipment. On Saturday, Dan Lipman, president of?global business initiatives at?Westinghouse's told? Sources told us this month that Japan and the U.S. were working together to include a nuclear project as part of a second tranche of deals in Japan's $550 billion investment package. The deal will involve Westinghouse. As nations seek to increase their domestic energy resources, the momentum for building nuclear facilities is increasing. Lipman, who spoke on the sidelines of a forum on Indo-Pacific Energy Security Ministerial and Business in Tokyo, said that the U.S. and Japan government reached an agreement?on the roles they would play, as well as the supply chain inside Japan. These are extremely?strategic and critical projects for Westinghouse as well as our Japanese partners. "We'll continue to work on the transaction until projects are identified, ready for deployment," said he. He added that more details have yet to be finalised. Westinghouse is owned by Cameco and Brookfield. It plans to build small modular reactors, as well as pressurised-water reactors, for up to $100 billion. This was revealed in a factsheet released following the October meeting between U.S. president Donald Trump and Japanese prime minister Sanae Takaichi. According to the sheet, Japanese companies such as Mitsubishi Heavy Industries (MHI), Toshiba, and IHI may be involved in the project. Lipman, without giving any details, said that they were "critical partners" for Lipman and would play a significant role. Separately, on 'Saturday, U.S. based power equipment?maker GE Vernova announced a 'joint statement that they had agreed to explore the possibility of working on projects in Southeast Asia using their BWRX 300 small modular reactors. (Reporting and editing by Tom Hogue; Katya Golubkova)
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Barclays increases 2026 Brent forecast by $85 per barrel due to disruption in the Strait of Hormuz
Barclays raised its forecast for '2026 Brent crude to $85 per barrel on Friday, citing supply disruptions that are 'linked to the Iran -war and have'sharply reduced oil flow through the Strait of Hormuz. The bank stated that oil flow through the Strait of Hormuz has slowed to a 'trickle' and production shutdowns in Gulf nations?have increased to more than 10,000,000?barrels a day. Barclays stated in a research report that the revised forecast assumes that the situation on the Strait of Hormuz will normalize within two to three weeks. The bank said that if the market internalizes the fact that this could take up to four or six weeks, 2026 Brent prices may rise to $100/b. The International Energy Agency has been trying to release strategic reserves, but oil prices are still rising. This is because the markets continue to be supported by uncertainty about the length of the conflict. Brent?futures settled on Friday at $103.14 per barrel, an increase of $2.68 or 2.67%. Barclays stated that the path of least resistance is to keep oil prices higher until there is an inflection in the conflict. (Reporting by Anushree Mukherjee in Bengaluru Editing by Rod Nickel)
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Israeli strikes kill 4 in Gaza as regional offensives escalate
Palestinian medics reported that Israeli strikes in Gaza had killed four Palestinians in two separate attacks, including two 17-year olds. Violence continues in Gaza and the West Bank, as Israel extends its offensive throughout the region. Israel has used deadly force in Iran and Lebanon as well as Gaza and occupied West Bank during the last 24 hours. According to Palestinian officials, Israeli forces killed 2 in Nablus, West Bank, on Thursday. The death toll for Lebanon, however, reached 773 on Friday, as reported by the Health Ministry. After two weeks of war, more than 2,000 people, mostly in Iran, have died, and several millions of people are displaced. The Israeli military said it wasn't aware of an earlier airstrike in Gaza that paramedics reported killed three people including two males aged?17. Medical personnel said that a Palestinian man was killed, and others were injured, in an Israeli tank shelling near a checkpoint in western Khan Younis, in the southern Gaza Strip. The Israeli military has not yet commented on the latest incident. Separately, the military announced in a separate statement that they had killed two people in West Bank who attempted to ram a car into soldiers. The military did not respond immediately to a request for proof of the attempted car-ramming attack. Israeli attacks against Gaza have increased since the start of the Iran war. Since the U.S., Israel and other countries jointly attacked?Iran in February 28, Israel has killed 23 people in Gaza. Since October, violence has been frequent in Gaza despite a ceasefire. According to reports, the U.S. President Donald Trump's Gaza peace plan has been put on hold ever since the Iran War began. The violence has continued in the West Bank. Since the U.S. and Israeli attacks on Iran, Israeli settlers have killed eight Palestinians in the West Bank. Since then, there has been an increase in settler violence as Israel has placed much of the West Bank on lockdown.
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US extends Venezuela sanctions waivers to boost fertilizer and electricity investments
The U.S. has 'extended sanctions waivers for Venezuela on Friday,' allowing investment into the petrochemical and energy sectors of the?South American nation and allowing fertilizer exports. Washington is trying to help American farmers who are being hit by the rising costs resulting from the Iran War. As part of this move, the U.S. Treasury Department updated three general licenses. The Department said that the changes are intended to help revitalize Venezuela's energy sector while also ensuring the global commodity markets stay well-supplied. However, it is not clear exactly how much fertilizer Venezuela has available to export or how fast it will reach the U.S. A Treasury official stated that "these authorizations expand allowed investment and activities in Venezuela’s energy industry, and allow for the direct export of fertilizer to the U.S. as a support to our great American Farmers." The move is part of the Trump administration's efforts to protect U.S. farmers and consumers from the rising prices of commodities due to the conflict with Iran. This has led to a rise in the price of?oil, fertilizer and raised fears about inflation. The measures support electricity generation, transmission, and distribution activities, which are all seen as crucial to boosting oil output after decades of underinvestment. FERTILIZER Imports from Venezuela to the U.S. These authorizations permit U.S. companies to import Venezuelan petrochemicals, including fertilizer. They also allow them to buy Venezuelan oil. The authorizations also allow?companies' to provide goods and services to support Venezuelan electricity and petrochemicals sectors. This is an expansion of previous permissions that focused on oil and gas. The measures also allow companies to?negotiate contingent contracts for new investment in Venezuela's electricity industry and petrochemical industry, but any?final agreement must receive separate authorization? from the Treasury Department Office of Foreign Assets Control. All transactions involving Russia and Iran, China, North Korea, Cuba, and North Korea are restricted. Washington has made a series of adjustments to sanctions since President Nicolas Maduro was captured and removed in January. U.S. authorities granted a license to certain transactions that involved Venezuelan gold earlier this month. Oil sanctions were also more widely relaxed in January and February. Venezuela's economy was hard hit by sanctions and what critics called profound mismanagement, as well as a series corruption scandals that sometimes involved high-level officials. Economists believe that the inflation rate was 400% in 2013. (Reporting and writing by Jarrett Renshaw, Ryan Jones; editing by Caitlin webber, Nathan Crooks and Rod Nickel).
Donald Trump's trade threats and tariffs
Since Donald Trump returned to office in the United States last month, he has imposed numerous tariffs on imported goods and threatened to do so more frequently.
These can be broad - such as a tariff on all imported goods from abroad - or targeted at certain sectors, countries, or regions to try and get them to comply with his demands.
Trump's threats are constantly changing, and other nations and businessmen are unsure of what to expect next.
Here's a summary of Trump’s threats and actions in relation to trade.
BROAD TARIFFS
Trump's vision is based on a gradual rollout of tariffs that will apply to all U.S. imported goods.
Last week, Trump asked his economics team to devise plans for reciprocal duties on all countries that tax U.S. imports. They also had to address non-tariff barriers, such as vehicle safety regulations that exclude U.S. automobiles and value added taxes that raise their costs.
In recent decades, tariffs have been reduced to a small fraction of U.S. taxes. Economists claim that Trump's policies are inflationary, as businesses who import goods and pay tariffs will pass on the costs to consumers.
Global trading partners may impose counter-tariffs on U.S. agricultural and energy exports. This could lead to a global trade war that would create uncertainty for investors and businesses.
Specific COUNTRIES
Trump's tariff proposals are aimed at several key trading partners.
MEXICO AND CANADA : Mexico and Canada were the two largest trading partners with the U.S. from 2024 to November. Trump announced that he would impose 25% tariffs on imports coming from Mexico and Canada, which will go into effect February 4, as a retaliation against migration and drug trafficking.
Trump postponed the tariffs until March 1, pending further negotiations with these two countries.
Canada exports mainly crude oil, other energy products and cars and auto parts as part the North American automotive manufacturing chain. Mexico exports a variety of goods to the U.S., including industrial and automotive products.
CHINA: Trump has imposed a tariff of 10% on China in order to keep his promise. China announced that it would begin levying levies against some U.S. products on Monday. In Trump's initial term, both countries were involved in a lengthy trade war which hurt their economies.
Trump has said that the EU, and other countries, have alarming trade surpluses. He said that the products of the other countries will be subject to tariffs, or he would demand they purchase more oil and natural gas from the U.S. despite the fact that U.S. export capacity for gas is close to its limit.
In a statement released on 14 February, the European Commission stated that the "reciprocal trade policy" was a step backwards.
RUSSIA: Trump threatened to hit Russia and "other participating countries" with tariffs, taxes and sanctions if an agreement to end the conflict in Ukraine was not reached soon.
INDIA/BRICS NATIONS : Indian Prime Minister Narendra modi met with Trump last week in Washington and offered to discuss easing tariffs and buying more U.S. gas, oil and combat aircraft. He also suggested possible concessions.
India is the largest trading partner of the United States and imposes the most tariffs.
Trump threatened to impose tariffs on the BRICS nations if they didn't agree not to create a new currency.
COLOMBIA - Trump announced that he would impose 25% tariffs on Colombian products after the country refused flights with migrants who were to be deported by the U.S. The two sides reached an agreement.
PRODUCTS
Trump said on Sunday that he would impose tariffs on all imports of steel and aluminum used by automakers and aerospace companies as well as in construction and infrastructure.
According to World Bank statistics, the U.S. imports more aluminum than any other country in the world. According to the International Trade Administration, it has been running a steel trade deficit for over a decade. The International Trade Administration reports that it is the world's second-largest steel importer, with over half of its volumes coming from Canada.
SEMICONDUCTORS : Trump stated that tariffs would start at "25%" or more, and increase substantially over a period of one year. However, he did not specify when they will be implemented.
Taiwan Semiconductor Manufacturing Co, the world's biggest contract chipmaker, produces semiconductors for Nvidia and Apple, among other U.S. customers, and 70% of its revenues in 2024 will come from North American clients.
PHARMACEUTICALS : Imposing tariffs of 25% or more on pharmaceuticals imported could be a burden on Japan. This is the home to major drugmakers like Takeda Astellas Daiichi Sankyo Eisai and Takeda.
India will also be a part of the future
Be impacted
As most generic drugmakers in the U.S. count it as their biggest market, exports to that country account for 31% of all the industry's exports.
Trump announced that levies for automobiles could be implemented as early as April 2. For example, the European Union collects a duty of 10% on imported vehicles, which is four times higher than the 2.5% U.S. tariff rate for passenger cars. The U.S. charges a 25% duty on pickup trucks imported from other countries than Mexico and Canada.
Trump also floated the idea that tariffs of up to 100% would be imposed on other vehicles including EVs. In 2024, the automobile industry will account for more than $200 billion in imports from Canada and Mexico. (Reporting and editing by Maju Sam, Lincoln Feast, and Sriraj Kalluvila in Bengaluru.
(source: Reuters)