Brazil took more than half of its diesel imports in May from Russia in the latest sign of changes in tanker trades linked to the invasion of Ukraine, according to data analyst Vortexa.

Brazil has become part of a group of four nations — along with Turkey, Saudi Arabia and the United Arab Emirates — that were responsible for 65% of Russian diesel imports in May despite having imported close to zero at the start of the year, it said.

Most of the tankers discharging in Brazil are MRs with an average age of 15 years old, said senior market analyst Pamela Munger. They then ballast back some 13,000 km to Europe and the Baltics, she said.

“In a pre-sanctioned market, it is unlikely MRs would be involved in these uneconomical voyages,” said Munger, as they would previously have loaded in the US Gulf after discharging in Latin America.

The current circumstances reflect the inefficient state of the tanker market that is “underpinning the profitability of owners choosing to stay in the [Russian] trade”, she said.

The impact of the surge in Russian exports to Latin America has diverted US diesel to other markets. The US Gulf has traditionally supplied most of the region’s diesel import needs.

It has resulted in a wave of US diesel cargoes to Europe after domestic refiners ramped up production, said the analyst’s chief economist David Wech.

MR time charter equivalent rates on the TC14 route from the US Gulf to Europe increased in the second half of May from a four-month low of $1,602 a day to around $18,000, according to the Baltic Exchange. They have since fallen back to below $10,000 per day.