Latest news with #JonathanSaul
Yahoo
3 days ago
- Business
- Yahoo
War insurance costs to Israel soar after Iranian attacks, sources say
By Jonathan Saul LONDON (Reuters) -War risk insurance premiums for shipments to Israel are as much as three times higher than a week ago as the war between Israel and Iran entered its fifth day, industry sources said on Tuesday. The cost of a seven-day voyage to Israeli ports was quoted between 0.7% and 1.0% of the value of a ship, versus around 0.2% a week ago, they said. War risk premiums to Israel are still below a peak of over 2% in November 2023 that were quoted after a Hamas attack on Israel killed 1,200 people and triggered the Israeli invasion of Gaza. Individual underwriters will price risk and rates differently, but this will add tens of thousands of dollars of extra daily costs for every voyage. "Calls specifically to Israel are very much on a case-by-case basis with rates increased to anywhere up to 1% for a 7-day call, dependent on what cargo, ownership and port," David Smith, head of marine with insurance broker McGill and Partners, told Reuters. Israel relies on sea lanes for much of its imports which are shipped to gateways that include the Mediterranean ports of Ashdod, which is close to Gaza in the south, and Haifa in the north, as well as the Red Sea port of Eilat. Israel's Bazan Group shut down its Haifa oil refinery, the country's largest, on June 16 after its power station was damaged in an Iranian attack. Nearly 30 vessels, many general cargo ships, were currently anchored around Haifa's bay, according to MarineTraffic ship tracking data on Tuesday. All port terminals in Haifa were operating normally and remained fully operational, an Israeli source involved in Haifa's port industry said. Many shipping companies are already wary of sailing to Israel due to the higher risk profile. Yemen's Iran-backed Houthis have said they will attack any Israel-linked vessels despite reaching a ceasefire over U.S. and UK-linked ships in the Red Sea. The militia announced in March a "maritime blockade" on Haifa port in response to Israel's ongoing conflict in Gaza.
Zawya
3 days ago
- Business
- Zawya
Israel war risk ship insurance costs soar after Iranian attacks, sources say
War risk insurance premiums for shipments to Israel are as much as three time higher than a week ago as the war between Israel and Iran entered its fifth day, industry sources said on Tuesday. The cost of a seven-day voyage to Israeli ports was quoted between 0.7% to 1.0% of the value of a ship versus around 0.2% a week ago, they said. Individual underwriters will price risk differently, but this will add tens of thousands of dollars per day for every voyage. (Reporting by Jonathan Saul; Editing by Emelia Sithole-Matarise)
Yahoo
13-06-2025
- Business
- Yahoo
Greece, UK urge ships to avoid Red Sea, log Hormuz voyages, documents show
By Jonathan Saul and Renee Maltezou ATHENS (Reuters) -Greece and Britain have advised their merchant shipping fleets to avoid sailing through the Gulf of Aden and to log all voyages through the Straits of Hormuz after Israel's attacks on Iran on Friday, documents seen by Reuters showed . Greek ship owners were urged to send details of their vessels sailing through the Strait of Hormuz to Greece's maritime ministry, according to one of the documents issued by Greece's shipping association, which was sent on Friday. "Due to developments in the Middle East and the escalation of military actions in the wider region, the (Greek) Ministry of Shipping ... urgently calls on shipping companies to send ... the details of Greek-owned ships that are sailing in the maritime area of the Strait of Hormuz," the document said. All UK-flagged vessels, which include the Gibraltar and Bermuda registries, were advised to avoid sailing through the southern Red Sea and the Gulf of Aden, a separate document issued by the UK's transport ministry said. If transiting these areas, vessels must adhere to their highest level of security measures and limit the number of crew on deck during transits, said the advisory, seen by Reuters. On Thursday, Greek authorities had also warned of increased tensions in the region due to military activity, adding that the duration of the risk period could not be determined, a separate communication said.
Yahoo
09-05-2025
- Politics
- Yahoo
Exclusive-Iran to send Russia launchers for short-range missiles, sources say
By Jonathan Landay and Jonathan Saul WASHINGTON/LONDON (Reuters) - Iran is preparing to deliver in the near future launchers for short-range ballistic missiles that the U.S. said Tehran sent to Russia last year for use against Ukraine, according to two Western security officials and a regional official. The delivery of the Fath-360 launchers - if it occurs - would help support Russia's grinding assault on its neighbor and reaffirm the deepening security ties between Moscow and Tehran. With a 75-mile (120-km) range, the Fath-360 would give Moscow's forces a new weapon to fire at Ukrainian frontline troops, nearby military targets, and population centers close to the border with Russia, analysts said. The U.S. last September said that Iran delivered the missiles to Russia on nine Russian-flagged ships - which it sanctioned - and three sources told Reuters at that time that the launchers were not included. The Western security officials and the regional official, speaking on condition of anonymity, said the delivery of the Fath-360 launchers was imminent. They declined to provide further details of the pending transfer, including why they thought the launchers were not delivered with the missiles. Russia's defense ministry and Iran's mission to the United Nations did not immediately respond to requests for comment. The U.S. National Security Council referred inquiries to the State Department, which did not respond immediately. The CIA declined comment. Russia and Iran have previously denied that Tehran had shipped the missiles or any other arms to aid the full-scale invasion of Ukraine that Moscow launched in February 2022. U.S., Ukrainian and European officials say Iran has provided Russia thousands of drones and artillery shells. In an apparent reference to the Fath-360s, U.S. Army General Christopher Cavoli, the commander of U.S. Central Command, last month told U.S. lawmakers that Iran had donated to Russia more than 400 short-range ballistic missiles. There have been no public reports of Iran transferring any other kinds of short-range ballistic missiles to Moscow or of Russian forces using the Fath-360. POSSIBLE COMPLICATION FOR PEACE TALKS Russia's deployment of the missiles could complicate U.S. President Donald Trump's efforts to arrange a ceasefire and peace talks between Ukraine and Russia and to strike a separate deal with Iran to curb its nuclear program. The regional official said that the indirect U.S.-Iran nuclear talks mediated by Oman are among "several reasons" for the delayed delivery of the launchers. The talks have encountered turbulence, although Iran on Friday said it agreed to hold a fourth round in Oman on Sunday. Jack Watling, a senior research fellow at the Royal United Services Institute think tank, said that Iranian officials would consider the issue of sending arms to Russia as separate from the nuclear talks. "That the Iranians are negotiating on nuclear issues with the U.S. will not be seen as connected to what they might do in collaboration with the Russians," he said. Analysts said there could have been another complication: Iran had to modify European-made commercial trucks on which to mount the launchers for its own Fath-360 arsenal, and it may have had to do the same for Russia given its massive losses of vehicles in Ukraine. With the launchers, Russia will be able to increase pressure on Ukraine, said the experts. "It would be much easier (for Russian forces) to launch a strike much faster ... against high-value targets," said Fabian Hinz, a research fellow with the International Institute for Strategic Studies. "They (Fath-360s) don't need a lot of launch preparations. Their flight time is incredibly short." Deploying the Fath-360 could allow Russia to reserve its more advanced missiles, like the Iskander, for longer-range strikes at critical infrastructure, including the power grid, straining Ukraine's precious missile defenses, the analysts said. The Fath-360 "is designed to be handled and operated by people with relatively little training," said Ralph Savelsberg, an associate professor at the Netherlands Defense Academy. "Why would they (Russia) buy inferior Iranian missiles? The only reason I could think of is that they cannot produce a sufficient number of their own missiles," he said. "They're not super accurate and they don't carry a very large payload. But it just adds to Ukraine's headaches."
Yahoo
08-05-2025
- Business
- Yahoo
Exclusive-US considering new ship registry in US Virgin Islands, sources say
By Jonathan Saul and Jarrett Renshaw WASHINGTON (Reuters) - President Donald Trump's administration is considering a proposal to create an international shipping registry in the U.S. Virgin Islands as part of efforts to enlarge the tiny commercial shipping fleet flying the American flag, according to four sources familiar with the matter. Increasing the number of U.S.-flagged vessels is important for Trump's administration because it would enhance the ability of the U.S. commercial shipping fleet to provide logistical support for the military in time of war, and ease Washington's dependence on foreign ships to transport supplies and equipment across sea lanes. The U.S.-flagged fleet currently numbers around 187 vessels, of which only 80 are involved in international trade. This contrasts with at least 5,500 of vessels under China's control, according to industry estimates and assessments from U.S. lawmakers. The U.S. flag registry has struggled to attract ship owners for decades due to higher costs, a bigger tax burden and multiple requirements such as having a crew of U.S. citizens. China has become the world's top shipbuilding and shipping nation with 230 times more shipbuilding capacity than the U.S., a congressional report showed last year. Using the U.S. Virgin Islands (USVI) could be the most efficient way to "strengthen American maritime posture" because the island territory could provide a U.S.-controlled flag without the costly restrictions associated with a straight U.S. flag registration, according to Eric Dawicki, president of the Center for Ocean Policy and Economics (COPE) research body, which submitted the proposal to U.S. officials. All commercial ships must be registered, or flagged, with a particular country or jurisdiction to comply with safety and environmental rules. A U.S. official said the proposal had been submitted to the National Security Council, adding it was unclear on the status. Another U.S. official confirmed that the National Security Council was aware of the proposal. White House and USVI officials did not respond to requests for comment. In previous conflicts, such as the 1991 Gulf War, the U.S. relied upon foreign-flagged vessels to bolster shipping access. "The ongoing reliance on voluntary charter arrangements with foreign-flagged vessels to supplement America's sealift capacity poses a strategic vulnerability to U.S. maritime interests," said COPE's Dawicki, a U.S. maritime industry veteran who co-founded the Dominica flag registry. While some lawmakers support the idea of a U.S. Virgin Islands registry, the proposal is likely to face opposition from unions and others keen for a revival in domestic shipbuilding. "The USVI is an alternative, but it probably will not get much support with the drive to enlarge the U.S. fleet," said Salvatore Mercogliano, associate professor of history at North Carolina's Campbell University and adjunct professor at the U.S. Merchant Marine Academy. NATIONAL FLAG The majority of U.S.-flagged ships operate under a century-old regulation called the Jones Act. That law requires that U.S.-flagged vessels be built in the U.S., employ a U.S. crew, and be owned by an American individual or entity. Those requirements were meant to help U.S. shipowners but they ultimately limited growth of the U.S. fleet, said Basil Karatzas, U.S.-based consultant with shipping specialists Karatzas Marine Advisors & Co. "As a national flag, it can never compete on cost with foreign nationals' labor." Unlike with the U.S.-flag, which is vetted by the U.S. Coast Guard, the USVI authority would administer and regulate an international registry that imposes fewer requirements, according to COPE. The vessels, for example, could be foreign built and crewed by non-U.S. nationals, it said. The U.S. Coast Guard and union officials did not respond to requests for comment. During World War II, the U.S. Merchant Marine - a civilian organization of the commercial fleet - played a vital role in defeating the Axis powers, with over 10,000 ocean-going vessels involved in operations, according to U.S. data. The U.S. fleet current represents under 1% of global shipping by value, separate U.S. data showed. The idea to create an international flag in the USVI was first discussed by industry officials and COPE in 2022 although it was not submitted to the previous administration under former President Joe Biden, COPE said. Trump's administration is pushing for a regeneration of U.S. shipbuilding as well as attracting more ships to the U.S. flag registry. There are around 20 shipyards in the U.S. - many ageing and in need of major investment, down sharply from over 80 at the end of World War II, according to U.S. lawmakers. On April 30, U.S. Congress members from both parties launched the SHIPS for America bill that seeks to bolster and secure consistent funding for the U.S. maritime industry. Dawicki said a USVI registry would complement the SHIPS Act, "without affecting cabotage (coast to coast shipping) or the Jones Act". Senator Todd Young's office, one of the lawmakers involved in the bill, did not respond to a request for comment.
