Saudi Aramco has resumed crude loadings from Ras Tanura, the world’s largest oil port, and switched to spot-market pricing for Asian customers, trade sources and shipping data show. At least five very large crude carriers carrying a combined 10 million barrels have exited the Strait of Hormuz since Friday, ending a near-four-month suspension triggered by the Iran war. The move has added to a prompt supply glut that has driven Brent crude to about $70 a barrel, down from close to $120 in March, following the interim US-Iran peace deal.

The state oil company typically sells crude through long-term contracts at official selling prices set monthly. Its July OSPs for Asia, fixed in early June, carried premiums of $6 to $10 a barrel. But other Middle Eastern grades for July-August loading have fallen to discounts as US-Iran peace talks progressed and most refiners had already covered requirements through August. To clear unsold barrels, Aramco offered around 6 million barrels of July-loading crude on a spot basis, with one source describing the pricing as “very attractive” for Chinese buyers. Traders now expect a sharp cut in the August OSPs. Shipping data show two of the five tankers heading to Japan and two to China, including cargoes for Sinochem’s Quanzhou refinery and Shenghong Petrochemical at Lianyungang.

The commercial pivot unfolds against a backdrop of strained US-Saudi relations. The rift became public in early May when Riyadh denied Washington use of its bases and airspace for Project Freedom, a military mission to escort commercial vessels through the Strait of Hormuz. The US had announced the operation without consulting the kingdom. Crown Prince Mohammed bin Salman held firm despite direct appeals from President Trump, Vice President Vance and senior envoys, fearing the plan would reignite the war. Washington suspended the mission within 48 hours. Saudi Arabia lifted the restriction only after US officials warned it would drop the kingdom from its priority list for defence weapons, Arab officials told the Wall Street Journal.

Viewed from Washington, the episode exposed an ally seen as insufficiently supportive; the administration is now considering reducing its military footprint in Saudi Arabia and shifting forces to Israel and Jordan. From Riyadh, the US has come to be regarded as unreliable and at times a risk to Gulf states. The crown prince turned down an invitation to the G7 summit in France as a protest, and Secretary of State Marco Rubio skipped Saudi Arabia during a Gulf tour. The kingdom is pursuing its own diplomatic track, with the foreign minister visiting China this week and direct talks with Iran on Strait security, missile arsenals and regional militias—issues Riyadh views as a greater threat than the nuclear file.

The next factual milestone is Aramco’s August OSP announcement, which traders expect to show a significant reduction. That decision will signal how aggressively the kingdom is competing for Asian market share. In parallel, the trajectory of US-Saudi military cooperation and the kingdom’s direct dialogue with Iran will shape the security framework for Gulf energy flows.