Torpedoed Persian Gulf Oil Tanker Chartered by Taiwan’s Oil Company

On the morning of June 13th, Taiwanese media CNA reported that an oil tanker chartered by Taiwan’s CPC Company was hit along with another ship in the same incident when passing through the Gulf of Aman by unknown torpedoes. According to Reuters, someone familiar with the matter told Iran’s state media Islamic Republic News Agency (IRNA) that Iranian rescue teams rescued a total of 44 crew.

Later that day, The New York Times reported US Secretary of State MIchael Pompeo accusing Iran of having fired the torpedoes, citing US intelligence. However, the report also pointed out that Pompeo did not provide any evidence, also noted by the reports by The Associated Press and CNN.

“Taken as a whole, these unprovoked attacks present a clear threat to international peace and security,” Pompeo reportedly said.”

Though one of the ship, Front Altair, was chartered by Taiwan’s state-owned oil company CPC Corporations, Pompeo also focused on the effect of this incident on Japan. The other tanker sank, Kokuka Courageous, was chartered by a Japanese firm according to a report by NHK. The supreme leader’s government then insulted Japan by attacking a Japanese-owned oil tanker just outside Iranian waters, threatening the lives of the entire crew, creating a maritime emergency,” Pompeo added.

Iran, however, has denied being involved in the attack, with its Foreign Minister referencing the on-going visit of Japanese prime minister Shinzo Abe to Tehran.

The US-Iran relations has deteriorated since President Donald J. Trump began taking on a more confrontational attitude towards Iran. An article by Foreign Policy in May pointed out that Iran has threatened to close the Strait of Hormuz. The strait is one of the most important strategic spots in the world, with more than a third of the world’s petroleum output passing through the strait every day. According to a Reuters report,

Competing narratives are emerging over exactly what had happened. According to New York Times, the US defense department said that a US Navy P-8 surveillance plane was flying over the tankers when they were struck, and spotted “an unexploded mine attached” to the hull of the Japanese-Chartered tanker. The mine apparently had look like explosives used against passing ships in attacks last month. However, according to Washington Post reporting from Tokyo, the owner said the crew said that the object which had hit the ship was a “flying object.”

According to an AP report from Cyprus, UAE’s Foreign Minister believes that the attack was “state-sponsored,” according to evidence possessed by his country. Reporting from Dubai, UAE, AP has also reported Saudi Arabia’s Crown Prince and de-facto leader Mohammed bin Salman joined US in pointing to Iran as the perpetrator. Qatar’s Al Jazeera has raised skepticism over Iran’s alleged role in the event and gave attention to Iran’s position. The Qatari state-owned media company, however, has also been the target of a Saudi-led diplomatic blockade on Qatar since 2019, when the Saudi bloc demanded the network to be shut down among other demands.

As more information continues to unveil, competing narratives are closely aligning to the power blocs of the region. US regional allies and partners such as UAE and Saudi Arabia have joined the US in pointing to Iran. Qatar, which has been closer with Iran compared to other Sunni-majority Arab states, is airing out competing narrative through its media. Iran and Saudi Arabia has long been rivals in the region in competing for power projection.

While Taiwan’s CPC has said that there are no major impact for this incident, Bloomberg has reported that oil tanker insurance has surged for ships to pass by the region. Both Taiwan and Japan are highly dependent on oil imports. According to an article published in 2013 by Brookings Institution, a think tank in Washington DC, Taiwan is dependent on oil imports for over 98% of its energy supply.

The incident increases the total number of ships sunk in the Strait of Hormuz to six in the past two months. Oil price will likely be affected if the strait continues to be insecure for oil tankers passing through the strait.

While multiple narratives exist over the perpetrator, a dilemma stands on proving substantive proof. If the US or the UAE are to prove their accusations that a “state-sponsored” attack has occurred, more specifically by Iran according to US position, releasing intelligence could also indirectly reveal the ways and means these countries used obtained such intelligence, contrary to their national interests.

The incident directly involves the economic interests of Japan, a US ally, and Taiwan, whose relations with the US has steadily warmed up over the year. Both countries have conducted trilateral security talks in Taipei, Tokyo, and the US over the past year. It brings attention to the importance of such a potential alliance beyond just the Indo-Pacific region.

(Feature photo by Gerhard Traschütz from Pixabay; not of the tankers referred to in the article)