Brent at $116: What Changes? | World Briefing 10/24

Brent crude settled at $116.72 a barrel on 23 October (US time), its highest close since 29 April, as Yemen’s Houthis kept attacking Saudi Arabia and Saudi Aramco told staff to evacuate its Dhahran headquarters. The same day, the Office of the US Trade Representative (USTR) proposed extending its pause on port fees for China-linked ships to 9 January 2027. With the US also adjusting its 50% duties on Canadian auto-related goods from 30 October, shippers need to check bunker surcharges, war-risk cover, the final USTR notice and the updated Canadian duty lists.

Key takeaways

• Oil: Brent rose 3.14% to settle at $116.72 a barrel and WTI rose 3.8% to $103.27 on 23 October (Reuters). Brent gained about 6% on the week, its third straight weekly rise.
• Saudi Arabia: Aramco told staff on 22 October to leave its Dhahran headquarters and work remotely. Reuters said it would be the first such evacuation since the Iran war began.
• US-China shipping: USTR proposed keeping port fees on Chinese-owned, -operated and -built ships, and duties on port cranes and cargo-handling equipment, suspended from 10 November 2026 to 9 January 2027. It is not final; comments are due 30 October.
• Canada: a US proclamation changes which Canadian products face the 50% additional duty linked to motor vehicles, for goods entered from 30 October.
• Canada-Türkiye: the two countries launched a strategic partnership, and the first round of FTA talks runs 30 November to 4 December in Ankara.

Top stories

Why did Brent climb to a six-month high?

Supply fears grew as Houthi attacks on Saudi Arabia continued. Brent settled on 22 October at its highest since 4 May, then rose another $3.55 on 23 October to $116.72, its highest settlement since 29 April. WTI closed at $103.27.

According to Reuters, Aramco told staff on 22 October to evacuate its Dhahran headquarters and work remotely. The Houthis claimed attacks on the Saudi defence ministry, Dammam and Abha airports, and an Aramco site in Yanbu; Saudi authorities did not confirm some of those claims. The UAE also reported an oil spill from a tanker off Umm Al Quwain. MUFG analysts said production and export flows through the Strait of Hormuz are close to prewar levels, though shipping rates remain high. The previous day is covered in the 10/23 briefing.

Sources: Investing.com (Reuters) oil settlement, Investing.com (Reuters) Aramco evacuation, The National

How long will port fees on China-linked ships stay paused?

Until 9 January 2027 if USTR’s proposal goes through. The current pause ends on 9 November, and on 23 October USTR proposed extending it from 10 November 2026 through 9 January 2027. The notice is scheduled for Federal Register publication on 26 October, and comments are due by 5 p.m. US Eastern time on 30 October.

The pause covers US port fees on Chinese-owned, -operated and -built vessels and certain foreign-built vehicle carriers, plus duties on ship-to-shore cranes and cargo-handling equipment. The US began collecting the fees on 14 October 2025 and suspended them on 10 November 2025. Because the extension is still a proposal, watch for the final notice.

Sources: gCaptain, Federal Register public inspection

What changes for US duties on Canadian vehicle-related goods?

A new proclamation changes the scope of the 50% additional duty on certain Canadian products. Some products come off the list and others are added. The changes apply to goods entered on or after 12:01 a.m. US Eastern time on 30 October 2026.

These duties rest on Section 338 and apply on top of Section 232 duties. For context, the 10% global surcharge under Section 122, in force from 24 February, ended on 24 July when its 150-day limit ran out. For a wider overview, see our US tariffs guide for exporters.

Sources: White House proclamation, HTS Lookup on Section 122

When do Canada-Türkiye FTA talks start?

The first round runs from 30 November to 4 December 2026 in Ankara. Canadian Prime Minister Mark Carney and Turkish President Recep Tayyip Erdoğan launched a strategic partnership with a three-year action plan in Ankara on 22 October.

It covers trade and investment, energy, defence and security, and people-to-people ties. Canada’s Prime Minister’s Office says trade between the two countries has grown by almost 50% since 2020. An expanded air transport agreement allows up to 21 weekly passenger flights per country and unlimited all-cargo flights.

Sources: Prime Minister of Canada news release, Türkiye Directorate of Communications joint statement

What it means for traders

• Freight and surcharges: Higher oil prices can feed into bunker surcharges. When you get quotes, check the surcharge reference date and revision terms.
• Insurance: For cargo routed via the Red Sea or Middle East, recheck war-risk cover and diversion terms before shipment (see ICC A, B and C cargo clauses).
• US-bound shipping: If your US cargo moves on Chinese-built or -owned ships, confirm before 9 November whether the fee pause extension is finalised.
• Customs: If you ship or source Canadian vehicle parts for the US, check your HS codes against the 30 October lists (see HS code lookup and classification).
• Contracts: When freight and duties move fast, review who bears each cost under your Incoterms and any adjustment clauses (see Incoterms 2020 summary).

What to check now: carrier bunker surcharge notices, war-risk cover on Middle East and Red Sea routings, the final notice on China-linked ship fees, and the Canadian duty change lists.

FAQ

Is the 10% Section 122 tariff still in force?

No. The 10% surcharge that began on 24 February ended on 24 July after its 150-day limit. Check current US rates for your products in the Harmonized Tariff Schedule (HTSUS) and US Customs and Border Protection (CBP) notices.

Is the extension of the China-linked ship fee pause final?

Not yet. USTR is taking comments until 30 October, and the current pause ends on 9 November. Wait for the final notice before changing shipping plans.

Do container rates rise as soon as oil does?

Not by the same amount, but fuel costs and bunker surcharges can pass some of the increase through. Check the surcharge line and validity period on your quotes.

Press coverage and sources

• https://www.investing.com/news/commodities-news/oil-little-changed-as-supply-concern-lingers-amid-houthi-attacks-on-saudi-arabia-4967907 (Reuters, oil settlement 23 Oct)
• https://www.investing.com/news/commodities-news/saudi-aramco-tells-staff-to-evacuate-dhahran-as-clashes-with-yemens-houthis-continue-4965766 (Reuters, Aramco Dhahran evacuation)
• https://www.thenationalnews.com/business/energy/2026/10/23/oil-prices-rise-as-houthis-launch-another-wave-of-attacks-on-saudi-arabia/ (The National, Houthi attacks and oil)
• https://gcaptain.com/ustr-proposes-extending-china-ship-port-fee-suspension-through-january-2027/ (gCaptain, USTR extension proposal)
• https://www.federalregister.gov/public-inspection/2026-21755/suspension-of-section-301-action-chinas-targeting-of-the-maritime-logistics-and-shipbuilding-sectors (Federal Register, Section 301 suspension)
• https://www.whitehouse.gov/presidential-actions/2026/10/further-modifying-the-scope-of-products-of-canada-subject-to-the-additional-duties-imposed-to-offset-canadian-discrimination-against-the-commerce-of-the-united-states-with-respect-to-motor-vehicles/ (White House, Canada vehicle-related duty scope)
• https://htslookup.com/programs/section-122/ (HTS Lookup, Section 122 expiry)
• https://www.pm.gc.ca/en/news/news-releases/2026/10/23/prime-minister-carneys-historic-visit-turkiye-launches-new-strategic (Prime Minister of Canada, Türkiye visit)
• https://www.iletisim.gov.tr/English/Haberler/detay/statement-by-president-recep-tayyip-erdogan-and-prime-minister-mark-carney-22-10-26 (Türkiye Directorate of Communications, joint statement)