What drove record marine fuel sales in Singapore?

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Record Marine Fuel Sales in Singapore Driven by Multiple Factors in 2024

Marine fuel sales in Singapore reached a record 54.92 million metric tons in 2024, exceeding the previous year's 51.82 million tons. This surge was propelled by a combination of record container throughput, increased vessel arrivals, altered refuelling patterns due to Red Sea shipping tensions, and a growing demand for alternative fuels to meet emission reduction targets.
Record Throughput and Vessel Tonnage

The port of Singapore experienced unprecedented activity in 2024, with container throughput climbing to a record 41.12 million twenty-foot equivalent units (TEUs). Concurrently, annual vessel arrival tonnage also set a new benchmark, reaching 3.11 billion gross tons (GT). These indicators of heightened maritime traffic directly contributed to the increased demand for marine fuels.
Impact of Red Sea Shipping Tensions

Geopolitical events played a significant role in reshaping refuelling strategies. Shipping tensions in the Red Sea disrupted traditional routes and altered refuelling patterns, leading to increased demand for marine fuels in hubs like Singapore. This shift in operational patterns necessitated higher bunker volumes to accommodate the altered voyage requirements.
Growing Demand for Alternative Fuels

Shipowners' commitment to emission reduction targets spurred a notable increase in the uptake of alternative marine fuels. Sales of these fuels surpassed one million tons for the first time, reaching 1.34 million tons in 2024, effectively doubling from the previous year. This growth was particularly evident in biofuel blends, which saw sales rise by approximately 69% to about 880,000 tons, and liquefied natural gas (LNG) bunkering, which more than quadrupled to over 460,000 tons.
Shifts in High- and Low-Sulphur Fuel Sales

Amidst the overall record sales, there were significant shifts in the types of fuels being purchased. Sales of high-sulphur marine fuel saw a substantial increase of 21%, reaching 20.15 million tons. This rise is attributed, in part, to a growing fleet of vessels equipped with scrubbers. Conversely, sales of low-sulphur fuel experienced a decrease of 4%, totalling 29.58 million tons.

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What drove record marine fuel sales in Singapore?

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