The Strait of Hormuz has been blockaded following an outbreak of war in the Middle East (late February 2026), causing a 22% drop in VLGC LPG exports from the region and driving major rerouting via the Cape of Good Hope. The Panama Canal is experiencing near-full capacity and sharply elevated transit auction fees (up to USD 4M per transit), further reducing VLGC availability and causing congestion-driven disruptions on key LPG trade routes.