Goldman Sachs reported on October 20 that global crude oil freight rates have surged sevenfold within a year, with the global average freight cost skyrocketing from approximately $3/barrel to over $20/barrel. Freight rates on Middle East routes have even exceeded $35/barrel. The bank identified the Strait of Hormuz war risk premium, ship-to-ship transfers, rising marine fuel costs, inefficient tanker deployment, and disruptions to the Iranian fleet as key drivers. High freight rates are widening crude oil spreads and squeezing refiner margins, with Asian refiners, who are highly dependent on long-haul crude oil imports, being the most affected. Their profits are nearing a critical point, potentially threatening refined product supply and pushing up end-user oil prices. Goldman Sachs expects high freight rates to persist as long as the Middle East conflict maintains its current status, posing an upside risk to Brent crude oil prices.