South Korea Shifts Oil Imports to Saudi Yanbu Terminal to Bypass Hormuz Risks

Key Facts

Amid escalating geopolitical risks threatening global supply chains, South Korea has begun increasingly utilizing the Saudi terminal of Yanbu on the Red Sea as a strategic alternative to bypass disruptions in the Strait of Hormuz. This shift aims to secure energy flows after Seoul historically relied on the Strait of Hormuz for 61% of its crude oil imports and 54% of its naphtha imports. According to reports, this logistical pivot is designed to mitigate exposure to direct military threats in vital maritime corridors.

This strategic move reflects the growing role of Saudi Arabia's logistical infrastructure in stabilizing Asian energy markets, as the East-West Pipeline provides direct access to the Red Sea, bypassing the Arabian Gulf. Looking at the performance of sector-related companies, Saudi Aramco (2222.SR) closed at 26.68 SAR, while Bahri (4030.SR) reached 33.14 SAR per market data as of July 16, 2026. Analysts suggest that increased reliance on the Yanbu terminal could enhance the operational efficiency of Bahri, which manages a massive fleet of very large crude carriers.

Investors should monitor Saudi Aramco (2222.SR) price levels, currently trading near support levels of 26.52 SAR based on the July 16, 2026 close. Global markets are also awaiting the upcoming OPEC meeting, which may provide clearer insight into production policies and global trade flows. Meanwhile, Alujain (2290.SR), which centers its operations in the Yanbu area, remains in focus after closing at 31.5 SAR, as the company could be directly impacted by expanded logistical activities in the region.