New Zealand Flags Oil Smuggling Tankers in Pacific Registry

New Zealand has raised alarms regarding a “shadow fleet” of tankers suspected of smuggling oil for Russia and Iran. This warning was directed to the Cook Islands, a small Pacific nation, which has become increasingly associated with maritime smuggling activities. A confidential list obtained by AFP details 19 vessels registered under the Cook Islands flag that have come under scrutiny.

The Cook Islands operates an international shipping registry that allows foreign vessels to register under its flag for a nominal fee, often just a few thousand dollars. Reports indicate that this system has attracted smugglers looking to bypass Western sanctions by sailing under the Cook Islands flag, effectively disguising themselves as legitimate operators.

In 2024, New Zealand officials compiled a list of tankers that had raised concerns, including the Arabesca and the Maruti. The Arabesca, a crude oil tanker, frequently docked at Russian ports in the Baltic Sea and was later blacklisted by the UK, Canada, Switzerland, and the European Union for its role in smuggling Russian oil. The Maruti, a chemical tanker, was linked to the transportation of “hundreds of thousands of barrels” of Iranian naptha fuel, as indicated by a US sanctions notice in December 2025.

Of the 19 ships initially flagged, seven continued to be registered in the Cook Islands as of mid-January this year, including the Bonetta and the Ocean Wave. These vessels are under suspicion for transporting crude oil from Iran, raising further concerns about the archipelago’s role in facilitating smuggling operations. Attempts to reach the owners of the flagged vessels for comment were unsuccessful.

New Zealand’s concerns were communicated to the Cook Islands government through diplomatic channels in 2024. According to New Zealand’s foreign affairs department, the Cook Islands has been exploited by transnational maritime smuggling networks, often referred to as the “shadow fleet.” This fleet operates by registering in jurisdictions where regulatory oversight is less stringent, enabling them to evade detection and sanctions.

In response to these allegations, a former Royal New Zealand Navy officer, Mark Douglas, noted that at one point in 2024, approximately 150 foreign tankers were registered in the Cook Islands. He described the situation as one where it was relatively easy to obtain registration, provided the necessary paperwork and payment were in order.

While the Cook Islands has since de-registered many of the questionable vessels, Douglas indicated that some remain, still raising concerns about their legitimacy. Currently, the International Maritime Organisation lists 40 tankers registered to the Cook Islands.

The practice of using flags of convenience, like that of the Cook Islands, allows foreign ship owners to register without ever visiting the archipelago, which is located between New Zealand and Hawaii. A report from the European Parliament in 2024 identified the Cook Islands as one of the top countries whose flags are being utilized by shadow tankers transporting Russian crude oil.

Maritime Cook Islands, the entity managing the shipping registry, was noted in a shipping journal as the “fastest growing registry” globally in 2024. Despite the significant growth, the revenue generated from shipping licenses remains modest, with budget documents estimating an income of around US$50,000 for the year.

While Maritime Cook Islands has previously claimed that it conducts appropriate checks and has never registered sanctioned vessels, the evidence suggests an ongoing challenge in enforcing these regulations. The situation presents a diplomatic dilemma for New Zealand, which has historical ties to the Cook Islands and maintains constitutional responsibilities in foreign affairs and defense.

The implications of the Cook Islands’ involvement in international smuggling activities not only affect regional stability but also highlight broader issues surrounding maritime governance and the effectiveness of sanctions aimed at curbing illicit oil trade.