finance
Oil Tanker Arrives in California
The final oil tanker to navigate the Strait of Hormuz since the start of the U.S.-Iran conflict has docked at the Port of Long Beach, delivering two million barrels. California faces potential fuel shortages as Middle East imports halt, prompting lawmakers to demand an emergency plan. Analysts predict rising prices before any supply gaps emerge.
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The last oil tanker to pass through the Strait of Hormuz since the war with Iran began has arrived at the Port of Long Beach, carrying two million barrels of crude oil for gasoline, diesel and jet fuel. This delivery marks the end of shipments that departed the Middle East before the conflict escalated, leaving California without its daily import of 200,000 barrels from the region.
California's reliance on imported oil has grown due to its lack of interstate gas pipelines, making it vulnerable to disruptions. Meanwhile, a National Iranian Tanker Company supertanker named HUGE, carrying over 1.9 million barrels valued at nearly $220 million, has evaded detection and is traversing the Lombok Strait toward the Riau Archipelago after last being sighted off Sri Lanka.
The tanker ceased transmitting on AIS since March 20, 2026, when it departed the Strait of Malacca for Iran.
A group of Democratic and Republican state lawmakers recently called for an emergency plan to address the fuel crisis.
“We are demanding an emergency plan to deal with this fuel crisis." — Assemblymember David Alvarez (D), at a press conference (nypost.com). They highlighted overdue reports required by the legislature and pointed to actions in countries like the Philippines and South Korea, where governments have urged conservation or declared emergencies to secure imports. The California Energy Commission stated it is working with refiners to identify alternate routes and sources. A spokesman for the commission expressed confidence in the state's oil supply for the next six weeks, expecting increased imports in June as markets adapt.”
Fuel prices in California have already reached record highs amid earlier pressures. Jamie Lewis, an oil analyst with Wood Mackenzie, said prices will rise sharply before shortages occur. The state has managed supply so far through tankers that left before the war, but those voyages have now concluded.
