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Ship Photo of The Week
Indian Coast Guard vessels fighting the fire on board the Wan Hai 503, June 10, 2025. Photo courtesy Indian Coast Guard
Top Stories
Strait Risk Rises: Oil Soars, Freight Rates Jump as Israel Strikes Iran
Oil and shipping markets surged Friday after Israel launched sweeping airstrikes on Iran, targeting nuclear and military sites in what it called the start of a prolonged campaign against what it claims is an imminent nuclear threat. Iran responded with missile and drone attacks on Israeli cities, pushing Brent crude up 7% to $74.23 and U.S. WTI to $72.98—both posting their sharpest gains since 2022.
Shipping rates followed suit. Forward freight agreements for Middle East crude bound for Asia jumped 15%, while VLCC charter activity slowed as owners grew wary of the increasing risk.
While the Strait of Hormuz remains open, UK and Greek authorities advised ships to avoid the Gulf of Aden and report Hormuz transits. Other tanker firms like Frontline are holding back vessels, and Japanese operators instructed ships to proceed with caution.
About 20 tankers transit Hormuz daily, moving nearly a fifth of global oil. A full closure is seen as unlikely considering China’s influence as Iran’s top oil buyer, but even the threat is disrupting trade. Container operators are bracing for the possibility of Red Sea-style diversions if the situation worsens. “Just a few successful attacks are enough to spook risk-averse shippers,” said Vespucci Maritime CEO Lars Jensen.
Analysts now warn of an “energy-for-energy” escalation, raising the risk to Saudi, Emirati, and Qatari shipments. Still, Tehran’s reliance on China-bound oil may temper action.
Insurers are already raising war-risk premiums. The Joint Maritime Information Center reports increased GPS jamming. Meanwhile, Gulf gateway ports like Jebel Ali and Abu Dhabi face growing uncertainty, with potential impacts on 150+ container services.
The Combined Maritime Force says shipping traffic continues for now—but the margin for miscalculation is shrinking fast.
Trump Says U.S.-China Trade Deal Is “Done”
President Trump announced Wednesday that a new U.S.-China trade deal is “done,” pending final approval from both leaders. The breakthrough follows two days of talks in London, where negotiators hammered out a framework to lift China’s export restrictions on rare earths and ease U.S. controls on high-tech goods.
Under the deal, China will resume shipments of critical minerals and magnets, while the U.S. will maintain a 55% average tariff on Chinese imports—down from the potential 145% rate if talks collapsed. Trump also promised expanded access for Chinese students at U.S. universities.
The agreement revives momentum from last month’s Geneva accord, which had stalled over export controls. While the framework eases immediate tensions, officials admit deeper issues remain unresolved. The deadline for a broader deal remains August 10.
Davie Enters U.S. Icebreaker Race with Texas Shipyard Deal
Canadian shipbuilder Davie is expanding into the U.S. market with plans to acquire shipyards in Galveston and Port Arthur from Gulf Copper, aiming to supercharge American icebreaker production. The move supports U.S. Arctic security goals and aligns with the ICE Pact, a trilateral U.S.-Canada-Finland initiative to boost polar shipbuilding capacity.
Davie’s $1B investment promises 4,000 U.S. jobs and a faster path to delivering next-gen icebreakers—directly challenging the newly formed United Shipbuilding Alliance (USA), a strategic partnership between U.S.-base Bollinger Shipyards and Edison Chouest. USA has proposed a 33-month delivery timeline for medium icebreakers, leveraging a commercial build model pioneered by the National Security Multi-Mission Vessel program and pitched in response to a recent Coast Guard request for information.
Backed by its leadership in Canada’s National Shipbuilding Strategy and ownership of Finland’s Helsinki Shipyard—builder of more than half the world’s icebreakers—Davie enters the race with serious polar pedigree.
Now, both Davie and USA are vying to close the urgent gap in U.S. polar capability, as the Coast Guard’s long-delayed Polar Security Cutter program expects its first delivery in 2030—six years late and billions over budget. With Russia and China expanding their Arctic fleets, the race to build America’s next generation of icebreakers is officially underway.
Atlantic Shores Offshore Wind has canceled its 1.5-gigawatt wind farm off New Jersey, citing federal opposition as the decisive blow. The project—expected to power over 700,000 homes—was derailed by the Trump administration’s sweeping freeze on offshore wind, including a halt on leasing, staff cuts at BOEM, and the suspension of key permits.
The EPA also withdrew the project’s Clean Air Act authorization following a January 21 executive order, and Shell’s earlier exit dealt another blow. While inflation and supply chain issues were cited, the developer said federal policy made the project untenable.
The collapse is a major setback for New Jersey’s goal of 11 GW of offshore wind by 2040 and reflects growing uncertainty across the sector.
Nearby, New York’s $5B Empire Wind project narrowly avoided the same fate after a month-long federal stop-work order was lifted in May. Though construction has resumed, Equinor says the regulatory uncertainty is forcing it to rethink future U.S. wind investments, calling the permitting environment “highly uncertain.”
Taiwan Jails Chinese Captain Over Cable Damage
A Taiwanese court has sentenced the Chinese captain of the Hong Tai 58 to three years in prison for damaging undersea cables off the island’s southwest coast in February.
Captain Wang’s Togo-flagged cargo ship dropped anchor near the cables, dragging and severing them, and causing over $570,000 in damage. He admitted ordering the anchor drop but denied intent to cause harm.
Beijing blasted the ruling as political, accusing Taiwan of “hyping a common accident” to stir cross-strait tensions. Taiwan has reported five undersea cable failures so far this year—up from three annually in both 2023 and 2024.
The case mirrors a similar probe in the Baltic Sea, where Finnish prosecutors are weighing charges against three senior officers of the Eagle S, a Cook Islands-flagged tanker linked to Russia’s shadow fleet. The vessel is suspected of dragging its anchor and damaging the Estlink 2 power cable and four internet lines between Finland and Estonia last December. Authorities allege aggravated criminal mischief, though the crew denies wrongdoing and jurisdiction remains contested.
Four Missing After Fire Guts Wan Hai 503
Four crew members are missing and the Wan Hai 503 is still burning after explosions ripped through the Singapore-flagged containership Monday off India’s southwest coast. All 22 crew abandoned ship; 18 were rescued, five injured, and four remain unaccounted for.
Roughly 40 containers fell into the Arabian Sea during the incident, which occurred 130 nautical miles northwest of Kochi. The Indian Coast Guard has launched a major firefighting and salvage effort, deploying ships, aircraft, and tugs to contain the blaze and tow the vessel away from shore. The cause remains unknown, and dense smoke has raised concerns about further explosions and environmental fallout.
The disaster comes just weeks after the MSC Elsa 3sank off Kerala, triggering a criminal investigation into hazardous cargo handling. Authorities are especially worried about 13 lost containers of calcium carbide, a highly reactive chemical. Salvage crews have been given just days to recover oil before monsoon conditions arrive.
With two major maritime incidents in as many weeks, pressure is mounting on India to tighten oversight of ship safety and dangerous goods at sea.
Morning Midas Still Afloat—Barely
The Morning Midas remains adrift and ablaze in the North Pacific more than a week after its 22 crew abandoned ship. Photos from a Coast Guard overflight show the fire has gutted much of the 600-foot car carrier, which was hauling over 3,100 vehicles—including 65 EVs—when the blaze broke out June 3.
Salvage crews from Resolve Marine have arrived aboard the tug Gretchen Dunlap, with more support vessels en route. Despite the damage, the ship is reportedly stable with no pollution spotted, though rough weather has hampered response efforts.
Last we heard, the Liberian-flagged vessel was drifting northeast about 218 miles south of Amatignak Island, and remains inside the U.S. EEZ. The Coast Guard says its top priority is safety—for people, responders, and the environment.
As always, we’d love to hear your feedback. Email [email protected] with any questions, comments, tips, or concerns. Don’t forget to check out the Club Discord and gCaptain.com for the latest maritime news.
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