Saudi Energy Giant Aramco Raises Asia Oil Price To Record High Amid Iran War: Who’s Most Affected?

Saudi Arabia’s Aramco has set a new all-time high premium of $19.50 per barrel for its flagship Arab Light crude to Asian refiners for May deliveries — the highest ever charged by the company. This record premium is a direct result of the Iran war and the near-closure of the Strait of Hormuz, which has severely disrupted global oil supplies. Saudi Arabia and the UAE are currently the only major Gulf producers with viable export alternatives via the Red Sea (Yanbu port), allowing them to reroute shipments while others remain locked in. Aramco has maximised its Red Sea pipeline capacity and shifted production to lighter grades suitable for this route. Asian buyers, including China, India, Japan, and South Korea, are now paying significantly higher prices amid limited supply.