Commodities July 3, 2026 09:24 AM

Gulf crude shipments surge in June as UAE leads rebound through Hormuz

Record UAE flows and U.S. security support clear stranded barrels, but regional exports remain well below pre-conflict volumes

By Ajmal Hussain
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Gulf oil shipments climbed sharply in June, rising by more than 3 million barrels per day from May to top 10 million bpd, driven largely by a record rebound in United Arab Emirates exports and increased movement through the Strait of Hormuz. U.S. military assistance and a June 17 agreement between Washington and Tehran to halt hostilities accelerated the clearance of crude that had been stranded in the Gulf. Despite the rebound, total flows are still roughly 40% below levels seen before the conflict.

Gulf crude shipments surge in June as UAE leads rebound through Hormuz
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Key Points

  • Combined Gulf crude and condensate exports rose by more than 3.5 million bpd in June to 10.07 million bpd, per Kpler; Vortexa estimated 10.2 million bpd.
  • UAE exports reached a record 3.7-3.8 million bpd in June, more than 1 million bpd higher than May, helping clear stranded barrels and lower oil prices toward pre-conflict levels.
  • Maritime traffic through the Strait of Hormuz increased, with 98 tankers transiting between June 22-28, and the U.S. military and a June 17 agreement with Iran aiding the restoration of shipping.

Overview

June saw a marked pickup in crude and condensate shipments from key Gulf producers as the region reopened maritime routes and cleared a backlog of cargoes that had accumulated during the conflict. Combined exports from Saudi Arabia, the United Arab Emirates, Kuwait, Iraq and Iran climbed by more than 3.5 million barrels per day from May, reaching 10.07 million bpd, according to Kpler data. Vortexa, another cargo analytics firm, put June flows slightly higher at 10.2 million bpd, up from 7 million bpd in May but still far below the 16.5 million bpd recorded a year earlier.

UAE leads the recovery

The United Arab Emirates emerged as the primary driver of the increase. Kpler, Vortexa and LSEG data show UAE exports at a record 3.7 million to 3.8 million bpd in June, more than 1 million bpd above May levels. That surge allowed millions of barrels that had been stranded in the Gulf to reach international markets, supporting a broader rise in output across the region and helping to return oil prices to pre-conflict levels.

Transit through the Strait of Hormuz

Shipping through the Strait of Hormuz improved notably after an agreement on June 17 between the United States and Iran to halt hostilities and restore passage. The U.S. military also played a role in helping keep oil moving through the strait. Ship broker BRS reported 98 tankers transited the strait between June 22 and June 28 - roughly 14 vessels per day - the highest weekly traffic since the conflict began. That tally included 47 laden outbound tankers and 41 ballast vessels entering the Gulf, a sign that owners have become more willing to send ships into the region.

Backlog and floating storage

Although flows accelerated, a backlog of crude awaiting transit remains. Kpler analyst Johannes Rauball said the backlog cleared more quickly after the June 17 agreement, but about 23 million barrels were still waiting to transit the waterway. Floating storage in the strait had peaked at 96 million barrels in late April, underlining the depth of the earlier disruption.

Country-level movements

Saudi Arabia lifted exports by 768,000 bpd to 4.52 million bpd in June, Kpler data shows. Exports averaged about 6.3 million bpd in the most recent week, close to January levels, as Riyadh increased loadings from Ras Tanura. During the conflict, Saudi Arabia and the UAE diverted some shipments through pipelines that bypass Hormuz - a strategy largely unavailable to Iraq and Kuwait - and ADNOC also employed a tanker shuttle service to sustain exports.

Vortexa data indicate exports from Iraq and Kuwait recovered to roughly 800,000 bpd each. Kuwait raised output sharply in June to 1.65 million bpd, according to a source. Iran increased exports by more than 70% in June to 640,000 bpd as the U.S. blockade eased, Vortexa reported.


Implications

The rapid reopening of maritime routes and record UAE loadings have unlocked significant volumes that had been offline, easing some pressure on prices and supply. Yet the overall recovery remains incomplete, with regional exports still substantially below pre-conflict throughput and a large volume of cargoes yet to transit the strait.

Risks

  • Total Gulf exports remain about 40% below pre-war volumes, indicating that supply tightness could persist and continue to affect oil markets - impacting crude traders, refiners and energy-intensive industries.
  • Around 23 million barrels were still waiting to transit the Strait of Hormuz, and floating storage had peaked at 96 million barrels in late April - logistical congestion or renewed disruption could delay deliveries and affect shipping and trading operations.
  • Regional routing constraints remain uneven - pipeline bypasses helped Saudi Arabia and the UAE but were largely unavailable to Iraq and Kuwait, creating asymmetric recovery risks across producers and potential market imbalances for refiners and importers.

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