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Under Red Sea Pressure: LPG Shipments from Saudi Yanbu Decline

Under Red Sea Pressure: LPG Shipments from Saudi Yanbu Decline





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#HODEIDAH_EXPRESS  

Tuesday, August 5, 2026



US-based energy data provider OPIS has reported a noticeable decline in liquefied petroleum gas (LPG) shipments from *Saudi Arabia’s Yanbu terminal* since late July, signaling the growing impact of escalating security risks in the Red Sea on maritime trade.


__Houthis Claim Blockade of Saudi Ports


The drop comes amid continued tensions in the Red Sea, with the Houthis describing their actions as a “blockade of Saudi ports” carried out by targeting and preventing vessels to and from Saudi ports via the Bab al-Mandab Strait. The situation has forced shipping companies to recalculate routes and avoid passages near high-risk areas.


__Shipments Halted and Routes Rerouted

 

According to LPG tanker brokers cited by OPIS, the last LPG cargo was loaded from Yanbu on July 28. No new shipping arrangements have been recorded from the terminal since then.


In a notable development, OPIS stated that the gas tanker _NY Lord_ altered course while en route from Yanbu to Suez in order to avoid transiting the Bab al-Mandab Strait, where tensions continue to rise.


_Asian Buyers Turn to Kuwait*  

The report indicated that declining supplies from Yanbu have pushed several Asian buyers toward Kuwaiti tenders to secure their LPG needs, aiming to compensate for shortages caused by disruptions to Red Sea shipping lanes.


Yanbu is one of the region’s main LPG export terminals, handling approximately 1.5 million tons per month, with 70% of that volume bound for Asian markets via the Red Sea and Bab al-Mandab.


__Impact on Supply Chains*  

Analysts believe that route changes and rising marine insurance costs could increase pressure on energy prices in Asian markets in the coming period, especially with winter approaching and gas demand set to rise.


This development comes amid ongoing international efforts to secure vital waterways in the Red Sea.


*Prepared by: #HODEIDAH_EXPRESS Newsroom

*Source: OPIS, US energy markets data provider


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