Treetop General presents its trading brief for Friday, 16 October 2026.
The key news: Ship attacks in and near the Strait of Hormuz and off Oman continued in early October, with at least 11 vessels struck. Brent crude is near $105.50 a barrel, and physical Dated Brent is near $130. Higher fuel and insurance costs feed directly into freight rates for wood and panels coming into Gulf ports.
What it means for our customers: Plywood, MDF and particle board are heavy, low-margin cargo. When freight and surcharges rise, the landed cost rises faster than the product price.
Example (illustrative): A container of panels worth $18,000 (about Dh66,105) with a 4% extra fuel and risk surcharge costs about $720 more, or about Dh2,644, per container.
Advice for partners: Ask suppliers for landed-cost quotes, not only ex-mill prices. Compare routes and ports. Order earlier for projects starting in December, and keep a cost buffer in tenders.
The honest caution: Shipping conditions can change quickly in either direction. Surcharges can rise or fall at short notice, so confirm every quote close to the booking date.
Treetop General — the right wood, the right route.
