Fallout from tariffs may take six to 12 months to realize, Port of Fujairah MD says

The fallout from tariffs and countertariffs being imposed by the US and major global economies may take six to 12 months to fully understand, the managing director of the UAE's Port of Fujairah said April 7 to kick off an annual bunkering conference.

"It's not clear, nobody can answer" what will happen to trade and shipping, Mousa Morad said at the start of the Fujairah Bunkering & Fuel Oil Forum that would see industry participants, shipping and refining traders in attendance. Tariff responses will vary from country to country, "so many things" could happen, he said.

"I think six months, maybe one year" it will take to fully realize, he said.

Fujairah is the world's third-biggest bunkering hub, supplying almost 7.5 million mt of fuel to ships last year, after Singapore and Rotterdam.

The stakes are high for the port along with global shipping, as crude prices have tumbled since the US imposed extensive tariffs on most of its trading partners, prompting retaliatory measures, including from China. Fujairah serves nearby OPEC producers, including the UAE, with shipping, storage for oil products and crude oil, ship fueling services, blending and refining.

Bunker fuel rates have followed crude, according to the assessments by Platts, part of S&P Global Commodity Insights.

The port is moving ahead with expansion plans, Mousa told reporters, noting a "master plan" to have 23 jetties for crude oil and oil products in the long term. Contracts for two jetties are expected to be awarded in September for completion in 2027, he added. There are no plans to mandate mass-flow metering, he said, saying it will be left to individual traders.