Heightened Risks - Steve Simms on the expanding legal and commercial risks facing US bunker traders and suppliers
Heightened Risks | Steve Simms | World Bunkering
Steve Simms examines the expanding legal and commercial risks facing US bunker traders and suppliers in 2026.
A key Fifth Circuit ruling, Three Fifty Markets v. M/V ARGOS M, upheld a maritime lien for bunkers supplied through a layered purchasing chain, underscoring the value of precise nominations, contract terms, delivery records, invoices, and communications.
Meanwhile, conflict around the Strait of Hormuz has intensified war-risk, sanctions, supply, insurance, pricing, and force-majeure concerns, requiring contracts to address disruption and extraordinary costs explicitly.
A broad Jones Act waiver may increase foreign-vessel coastwise energy movements and bunker demand, but suppliers must verify cargo, vessel, route, and waiver eligibility. California fuel rules, federal renewable-fuel policy, OFAC screening, and possible US trade measures targeting China- linked vessels add further compliance and credit exposure.
Overall, bunker contracts now require wider due diligence and faster adaptation to shifting regulation and geopolitics.
