Record tanker rates strand heavy crude in the Americas

Record tanker freight, costing up to 40 dollars a barrel on routes from the Americas to Asia, has left Canadian, Colombian and Ecuadorian heavy crude stranded at home, cutting flagship grade prices by about 10 dollars a barrel in recent weeks.

Why it matters: Heavy crude yields more diesel than lighter grades, so barrels stuck in the Americas by freight costs deepen the shortage facing refiners in Asia and Europe and keep the global diesel crunch in place.

Data as of Tuesday, October 13, 2026, night. Single report: OilPrice, opened and read in full, summarising Reuters reporting and Argus price data; the underlying Reuters report was not opened, hence grade C. Developing item, 2 to 3 sentences by design.

Tanker rates have hit all time highs as Middle East producers tie up vessels in ship to ship transfers outside the Strait of Hormuz, with supertanker rates from the Gulf to Asia reaching 1.4 million dollars a day earlier this month. Freight from the US Gulf Coast to Europe now totals about 46 million dollars a voyage, or 24.50 dollars a barrel, against 6.5 million dollars before the war, and the Americas to Asia route costs over 80 million dollars.

Western Canadian Select fell to 74 dollars a barrel last week before recovering to 79.50 dollars, with Ecuador’s Oriente and Colombia’s Vasconia also down sharply, even as Russian Urals fetches close to 120 dollars. With few ships available and heavy grades in strong demand for diesel, refiners in Europe and Asia are holding back from purchases and the glut in the Americas looks set to persist.

Record tanker rates strand heavy crude in the Americas

Sources