Marine fuel sales at Fujairah dropped to a historic low in May 2026, extending a streak of declining volumes that has now stretched across three consecutive months since the outbreak of the Iran war.
According to data published by Ship & Bunker, citing figures from the Fujairah Oil Industry Zone and S&P Global Commodity Insights, total bunker sales at the UAE port reached just 96,721 m3 last month — down 24% from April’s already record-low level and an 84.3% decline compared to May 2025.
Sales Across All Grades Fall Sharply
The drop was widespread across fuel categories. Sales of 380 CST VLSFO — Fujairah’s most commonly traded bunker grade — fell 29.6% from April and 86% year-on-year, reaching a record low of 57,382 m3, as reported by Ship & Bunker.
Other grades followed suit:
- 380 CST HSFO declined 15.1% month-on-month and 80.8% year-on-year to 31,601 m3
- LSMGO slipped 1.6% from April and 77.3% from the same period last year, totalling 7,157 m3
- 180 CST VLSFO collapsed 63.1% on the month and 98% on the year to just 200 m3
- MGO bucked the broader trend with a 421.9% month-on-month rise to 381 m3, though still 42.5% below May 2025 levels
Tight Availability Pushes VLSFO Prices Higher
While volumes declined, prices moved sharply upward. Ship & Bunker reports that Fujairah’s average VLSFO price in May reached $921/mt, compared to $783/mt in April and $501.5/mt in May 2025. The publication had previously noted that extremely tight VLSFO availability at the port was a key driver of the price increase.
For context, Ship & Bunker’s G20-VLSFO Index — tracking average prices across 20 major bunkering ports — stood at $900/mt in May, up from $889.5/mt the previous month.
Iran Conflict Continues to Disrupt Hormuz Traffic
Ship & Bunker attributes the sustained decline in bunker sales to the ongoing disruption of shipping flows through the Strait of Hormuz following US and Israeli military operations against Iran in late February. Reduced vessel traffic through the strait has directly translated into lower demand for marine fuel at Fujairah, one of the world’s most strategically positioned bunkering hubs.
Ship & Bunker notes that a tentative US-Iran agreement to end hostilities could support a recovery in bunker demand at Fujairah in June, should shipping flows through the Strait of Hormuz begin to normalise.
Does This Matter to You?
The sustained collapse in Fujairah volumes — paired with sharply elevated VLSFO prices driven by constrained availability — signals a fundamentally disrupted supply and pricing environment at one of the world’s most strategically important bunkering locations. Route planning, fuel procurement decisions, and cost forecasting in the region are all affected by conditions at Fujairah. The combination of low liquidity and high prices creates a challenging environment for anyone reliant on this hub, while the prospect of normalisation, if a ceasefire holds, introduces significant uncertainty around how quickly and to what degree conditions might recover.
Gulf Bunkering does not provide operational or security guidance. This article is for informational purposes only. Operators should consult flag state authorities, P&I clubs, and relevant advisories for decisions relating to transit planning.
Sources: Ship & Bunker, Fujairah Oil Industry Zone, S&P Global Commodity Insights
