Greek shipping magnates, controlling the world’s largest tanker fleet, have reentered the Russian oil trade as crude prices dip below the Western price cap of $60 per barrel, making it legal under sanctions.
This shift follows a significant decline in global oil prices this year, with benchmark Brent crude falling 14% to around $64 per barrel and Russian Urals trading closer to $50 per barrel, reflecting a persistent discount since the Ukraine conflict began in 2022.
The move also aligns with signs of a potential thaw in U.S.-Russia relations under President Donald Trump, though his recent warnings of further sanctions against Moscow highlight ongoing uncertainties.
Greek ships have increased their share of Russian crude exports, handling 30% of shipments from Baltic and Black Sea ports in March and 26% in April, more than doubling their 2024 market share, according to Vortexa data.
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Why Greek Shippers Are Returning
Both economic and geopolitical factors drive the resurgence of Greek involvement in Russian oil transport. The G7 price cap, introduced in late 2022, prohibits Western companies from providing shipping and insurance services for Russian oil sold above $60 per barrel, a measure aimed at curbing Moscow’s war revenues.
However, with Russian oil now trading below this threshold due to increased Saudi output and global trade war concerns, Greek shippers can legally reengage. Industry insiders also claim that recent meetings between Trump administration officials and Greek shipping executives have increased their confidence that they won't be penalized.
Maritime analyst Michelle Bockmann noted a shift in sentiment, stating that the industry perceives handling Russian oil as safer compared to Iranian oil, which remains heavily sanctioned. Despite this, many U.S. and European tanker firms remain cautious, wary of Russia’s ongoing conflict with Ukraine and the patchwork of sanctions still in place.
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Key Players and Market Dynamics
Prominent Greek shipping families are leading the return to Russian ports. The Alafouzos family, through privately owned tankers named after Cyclades islands, has made nine trips to load Russian crude this year, with their vessels calling at Russian ports about 140 times since the war began, including trips for Kazakh crude.
Dynacom Tankers, led by George Prokopiou, has transported Russian crude six times in 2025, while Andreas Martinos’s Minerva has resumed operations with a tanker loading in March and another scheduled at Primorsk soon.
Both companies have also moved Russian diesel and Kazakh crude frequently this year. However, not all Greek shippers are joining the rush; George Economou of TMS Tankers, who previously handled large volumes of Russian crude, is currently limiting his involvement to fuel oil, citing insufficient freight rate premiums to offset risks.
Data shows freight rates for Russian oil voyages remain lucrative, often 20% higher than mainstream routes, though the legal and compliance costs continue to deter some operators.
Did You Know?
Greece controls the world’s largest tanker fleet, accounting for 18% of global shipping capacity in 2022, according to the United Nations Conference on Trade and Development.
Geopolitical and Economic Implications
The Greek reentry into the Russian oil trade comes amid a complex geopolitical landscape. The Trump administration’s signals of a possible rapprochement with Moscow have encouraged some Western firms to reconsider their stance, though Trump’s recent criticism of Vladimir Putin and threats of secondary sanctions on Russian oil buyers indicate that risks persist.
A State Department spokesperson emphasized that the U.S. is prioritizing diplomacy but retains a range of measures if negotiations falter. Meanwhile, the reliance on Greek tankers has grown as new U.S. sanctions in January 2025 targeted over 180 shadow-fleet vessels, disrupting Russia’s alternative shipping networks.
Analysts reflect mixed sentiment, with some praising the economic pragmatism of Greek shippers, while others criticize the move as undermining Western efforts to isolate Russia.
The broader market remains volatile, with the International Energy Agency reporting that Russian crude exports to Asia, particularly India and China, have rebounded to 2.1 million barrels per day in April 2025, up 15% from January, driven by lower prices.
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