South Korea’s Janggeum Shipping Emerges as a Top Winner From War After $7 Billion VLCC Bet

With the Strait of Hormuz reopened after more than three months of closure, South Korea’s Janggeum Shipping is drawing attention from overseas media. The company invested $7 billion before the US-Iran war to become the world’s largest owner of very large crude carriers, or VLCCs. With demand for transporting Middle Eastern crude set to surge after the wartime disruption, tanker rates are expected to stay elevated for now and boost the company’s earnings.

The Wall Street Journal reported on July 2 that more than 10 Janggeum Shipping tankers had passed through the strait after it reopened, calling the company one of the biggest beneficiaries of the Middle East war. When the Strait of Hormuz was shut, traders scrambled to ship US and other non-Middle Eastern crude to Asia instead, driving tanker rates higher. Now that the war has ended and the passage has reopened, demand for Middle Eastern crude shipments is climbing, keeping tanker rates at lofty levels.

Janggeum Shipping leases VLCCs and container ships to refiners and trading houses. After the pandemic, it stepped up VLCC purchases through affiliate Janggeum Maritime. From December 2025 through early 2026, it snapped up secondhand VLCCs. Group affiliates including Janggeum Maritime are now known to own about 160 crude carriers. More than half are believed to be VLCCs. That would amount to about 10% of the global VLCC market, estimated at 700 to 800 vessels.

A substantial portion of the money Janggeum Shipping spent on VLCC purchases before the war was reportedly backed by Gianluigi Aponte, founder of Mediterranean Shipping Co., the world’s largest shipping line. Janggeum Maritime is pursuing a plan to sell a 50% stake to MSC and jointly operate the company.

The combination could create synergies, with MSC strong in containers and Janggeum Maritime focused on tankers. Jang Ka-hyun, vice chairman of Janggeum Shipping and the son of Chairman Chung Tae-soon, owns 100% of Janggeum Maritime.

Janggeum Shipping and its affiliates are believed to have made hefty profits during the war. Clarksons Research said average daily VLCC earnings reached $385,000 in March, the highest since the shipping consultancy began compiling the data in 2000.

Freight rates also remain elevated. The Shanghai Containerized Freight Index rose 117.95 points last week to 3,239.64 from 3,121.69 the previous week, extending gains to a ninth straight week. Freight rates on Middle East routes stood at $4,592 per TEU, nearly 3.5 times the $1,327 level at the end of February before the war broke out. The Wall Street Journal said some in the shipping industry contend Janggeum Shipping could try to artificially prop up freight rates by keeping some tankers out of service.