Shipping industry leaders are bracing for a concentrated focus on the Strait of Hormuz at the upcoming Splash Singapore event, according to Nitin Mathur, managing director of commercial shipping at Al Seer Marine. In an interview ahead of the September conference, Mathur outlined the top themes that will shape tanker market discussions, from geopolitical risk to capital allocation.
Strait of Hormuz Tensions Dominate Tanker Agenda
Mathur expects the conversation at Splash Singapore to be "dominated by one region above all others": the implications of the US-Iran conflict and the resulting uncertainty around the Strait of Hormuz. According to Mathur, "Any disruption to trade flows through this region has significant consequences for crude, product and gas markets." He identified several key topics for the tanker segment:
- Tonne-mile demand across all tanker segments and whether current strength can offset geopolitical and macroeconomic uncertainty
- The orderbook, asset values, fleet ageing, and the sustainability of time-charter rates
- The critical question of capital allocation — how to justify vessel acquisitions at historically elevated asset values given uncertainty over long-term charter rates, environmental regulations, and earnings visibility
"One of the most important questions facing owners and investors today is how to justify vessel acquisitions and new investment decisions at historically elevated asset values," Mathur said, "particularly when there remains considerable uncertainty regarding long-term charter rates, environmental regulations and earnings visibility." He described balancing growth ambitions with disciplined capital allocation as "likely to be a major theme."
AI Adoption Accelerates in Maritime Operations
Mathur sees Artificial Intelligence as a transformative force for shipping. "Artificial Intelligence is undoubtedly the dominant theme and shipping will not be immune to the AI wave," he said. He expects much broader adoption across vessel operations, fleet management, and commercial functions over the next 12 months. The most immediate applications include:
- Performance monitoring
- Voyage optimisation
- Predictive and preventive maintenance
- Decision-support tools
"AI will increasingly act as an assistant to the decision maker rather than a replacement," Mathur added.
Decarbonisation Capex Debate Remains Unresolved
While decarbonisation and alternative fuels remain on the industry's agenda, Mathur is candid about the unresolved tension. "A critical debate remains whether the substantial capital expenditure required for alternative-fuel solutions can be justified given the continuing uncertainty around fuel availability, infrastructure development, regulatory frameworks and future technology," he said. This uncertainty complicates investment decisions for shipowners and operators navigating the energy transition.
Singapore's Maritime Ecosystem Under Pressure
Mathur, a Singaporean heading a UAE-based shipping company, affirmed Singapore's staying power as a global maritime hub. "Singapore remains one of the world's leading maritime hubs and continues to play a central role in global shipping," he said. However, he acknowledged that other jurisdictions, including the UAE, have made significant strides in attracting maritime business, and recent geopolitical developments in the region have created additional challenges. Singapore's strength, Mathur noted, lies in its "complete maritime ecosystem" encompassing finance, legal services, ship management, trading, technology, and talent. Nevertheless, he cautioned that leadership is not guaranteed indefinitely, and Singapore must continually reassess its tax framework and ease-of-doing-business environment to remain competitive. The cost of living is a consideration affecting most major shipping centres, he added.
For Mathur, the greatest value of Splash Singapore comes down to the people. "I look forward to reconnecting with long-standing friends and colleagues from across the maritime sector, while also building new relationships and partnerships," he said. He hopes the event delivers candour as much as connection, making it particularly valuable for the industry.
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