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Iran Conflict 2026
17OCT

Hormuz crossings fell 78% on GL X's first day

3 min read
18:37UTC

Hormuz transits collapsed from 55 ships on 20 June to 12 on 22 June, the day General License X authorised Iranian oil to move, with five of eight inbound vessels running dark.

ConflictDeveloping
Key takeaway

General License X authorises a trade the mined, uninsured strait cannot yet carry.

Hormuz transits collapsed from 55 ships on 20 June to 12 on 22 June, a 78 per cent drop between those two days, with five of eight inbound vessels running with their automatic identification systems switched off⁠1. AIS transponders broadcast a ship's identity and position; switching them off hides the vessel. The maritime intelligence firm Windward called the pattern a "late-blockade baseline," closer to wartime dark-fleet running than a functioning open strait⁠2. The collapse fell on the very day General License X authorised the oil to move.

The larger 20 June traffic had run through Oman's territorial waters, the bypass route that has carried Gulf crude since the closure, and markets have consistently priced that Oman route over Iran's words. Brent Crude fell to about $78 a barrel on 22 June, its lowest since early March, pricing the 60-day relief rather than delivery: a permit to sell oil that only 12 ships actually moved.

The freight and spread economics of a dark, fee-charged corridor are the European oil desk's beat. A 78 per cent fall on the exact day the licence issued is the cleanest evidence that the bottleneck is mines and war-risk, not sanctions, so lifting the sanctions moved nothing on the water. GL X authorised a trade the strait cannot physically carry yet.

Deep Analysis

In plain English

Before the conflict, around 55 ships crossed the strait of Hormuz every day, carrying roughly a fifth of the world's oil. On 22 June, the same day the US gave Iran special permission to sell oil again, only 12 ships crossed, and five of them had turned off their GPS trackers, a sign that their crews were trying to avoid being noticed in a war zone. The oil market noticed the mismatch. Brent Crude, the global oil price benchmark, settled around $78 a barrel, lower than before the conflict, but still elevated. Traders were pricing in the hope that the 60-day permission slip would eventually help reopen the strait fully, rather than treating it as done. A permission to sell oil is not the same as a safe route to ship it.

First Reported In

Update #136 · Trump's first Iran paper is an oil licence

Al Jazeera· 23 Jun 2026
Read original →
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Written with AI from Lowdown's published reporting. Not individually reviewed by an editor. Editorial standards.