COSCO SHIP ENGY (01138) rose more than 4% during the session. As of the time of writing, the stock was up 4.26%, trading at HK$15.43, with a turnover of HK$105 million. Recent developments indicate that tanker freight rates have remained elevated. On February 3, former U.S. President Donald Trump stated that he had reached an agreement with Indian Prime Minister Narendra Modi, under which India will cease purchasing Russian oil and significantly increase energy imports from the United States. The two nations also finalized a trade agreement, reducing U.S. reciprocal tariffs on Indian goods from 25% to 18%. Analysts suggest that as this policy takes effect, India's shift away from Russian crude toward compliant oil sources is expected to further support freight rates in the regulated market. In the medium term, factors such as upstream production expansion, geopolitical tensions, and tightening sanctions are likely to benefit supply-demand dynamics, supporting a continued upward trend in freight rates. Market observers note that geopolitical tensions since 2026 have heightened owner sentiment, with some international shipowners increasing chartering activities to control market supply. Recent tanker rates have stayed high, with VLCC TCE rates on the Middle East-China route holding above $120,000 per day last week. It is anticipated that owner sentiment will continue to influence short-term rates, with projections pointing to a several-fold year-on-year increase in tanker earnings for the first quarter of 2026. Emphasis is placed on the view that tanker shipping is not merely a short-term play on geopolitical events but is supported by a long-term "super bull market" narrative. Expectations remain positive that global crude production growth will continue to drive demand for tanker shipping, while accelerating fleet aging will ensure sustained rigidity in the supply of compliant vessel capacity.