Don’t expect shipping to snap back to normalcy with a US-Iran agreement
- Exact details of an agreement have yet to be disclosed, but signs point to a 30-day negotiating window
- Rystad Energy expects at least six-to-eight weeks before credible access to MEG supplies can be achieved after an agreement is reached
- Time and clarity will also be needed for ships to leave the strait, even with a plan already in place by the IMO
- Patience will also be required for underwriters to reprice risk for vessels transiting Hormuz
Patience will be required before any sense of normalcy can be sustained. The way this crisis has unfolded suggests that either side could still resume military action even if an agreement is ratified
