International Seaways Accelerates Fleet Modernization
International Seaways is strategically downsizing its fleet by selling older vessels, enhancing its balance sheet and trading capabilities. Since the beginning of 2023, the New York-listed tanker company has successfully sold or reached agreements to sell five ships, generating approximately $185 million in proceeds. These transactions are expected to finalize in the first quarter of 2026, with anticipated gains around $65 million.
Details of the Recent Sales
The vessels being sold include three MR product tankers with an average age of 18 years, along with two VLCCs averaging 15 years, the latter linked to South Korean owner Sinokor. This fleet reduction follows a similar initiative last year, where International Seaways offloaded over ten aging product carriers while simultaneously incorporating younger VLCC tonnage into its operations.
Led by CEO Lois Zabrocky, the company has been diligently modernizing its fleet to maintain flexibility across various tanker segments. Despite the recent sales, International Seaways remains a significant player in the publicly listed tanker market, boasting a fleet of 73 vessels. This includes 12 VLCCs, 13 suezmaxes, five aframaxes/LR2s, 11 LR1s—four of which are newbuilds—and 32 MR tankers.
Strategic Shift Towards Suezmaxes
These fleet adjustments coincide with International Seaways’ broader strategic shift, particularly its recent expansion into the suezmax market. The company is moving away from its traditional VLCC focus by launching a dedicated suezmax pool. This development follows the complete acquisition of Tankers International, after purchasing CMB.TECH’s stake. The spot-trading suezmaxes from its fleet are set to be incorporated into this new pool.
Marine Shipping on Great Lakes and St. Lawrence Seaway remains consistent and
By actively reshaping its fleet and diversifying its offerings, International Seaways aims to enhance its competitive edge in the evolving shipping industry. The company’s ongoing efforts to modernize its fleet and adapt to market demands underscore its commitment to maintaining a robust presence in the tanker sector.
