Middle East Crisis: Situation Updates

• After a brief opening the Hormuz Strait has been once again officially closed due to the ongoing blockade of Iranian ports by the US
• The situation on the ground still remains unclear as carriers are yet to announce any update on their plans for either short term or permanent return to routing via the Hormuz Strait
• All major carriers have now halted/alternated bookings to/from or via Arabian Gulf ports, and surcharges continue to escalate.
• Port operations are technically open in most locations but are functionally constrained due to the lack of vessel calls, congestion, and yard‑space limitations, congestions building up.
• DGF Ops, Trade, and Crisis Calls remain activated with full vessel and shipment visibility, exception handling, and daily cross‑functional alignment.

• UAE – All ports operational
• Kuwait
  • Shuwaikh –Operational
  • Shuaiba - Operational
• Saudi Ports – Operational
• Umm Qasr – Operational
• Hamad – Operational
• Bahrain – Operational
• Oman
  • Sohar – Operational
  • Salalah –Operational
  • Duqm – Operational
• Beirut – Operational
• Aqaba – Operational

Across all major liners:

• Service omissions, early voyage terminations, diversions, and Cape of Good Hope rerouting widely in effect.
• Reefer, DG, and Special Cargo restrictions are now industry‑wide.

Examples:

• Maersk accepting only bookings up to Sohar & Khor Fakkan
• Maersk still only accepting Empty Return at Salalah, Jeddah and Sohar
• MSC: EoV declared for all Gulf‑bound shipments (3 March). Diversion & mandatory USD 800/container surcharge applied. Numerous emergency surcharges active.
• Evergreen, YML: Broad suspensions to Upper Gulf.
• CMA CGM: Broad booking halt; Clause 10 activated on multiple vessels; Suez routings suspended.
• Maersk: Wide‑scale suspension of Gulf & ISC lanes; reefer/DG stops; FM1/ME11 suspended; acceptance only for essential cargo.
• Hapag-Lloyd: No Gulf bookings except Jeddah.

• No information or declarations from Carriers

• Surcharges & Cost Implications: As the situation in the Middle East continues to evolve, carriers may introduce additional charges to compensate for increased operational and security‑related risks. These include, but are not limited to, the following:
• War Risk Surcharge: Given the heightened regional security environment, carriers and insurers may introduce or adjust war‑risk premiums. These may apply to cargo already in transit as well as to new and future bookings.
• Emergency Surcharge (ES): At least one major carrier has announced an Emergency Conflict Surcharge, and additional carriers may implement similar measures depending on how operational conditions develop.
• Bunker Adjustment Charge (BUC): With the closure of the Strait of Hormuz and suspended transits through the Bab Al Mandab Strait, many vessels are now rerouting via significantly longer alternatives, including the Cape of Good Hope. Rising oil prices driven by these disruptions are expected to push global bunker costs upward, and carriers are likely to pass on these additional fuel‑related expenses.

• MSC arranging vessel connections to Gulf for containers discharged in India and Sri Lanka  
• Vessel connections to the Gulf for these diverted shipments are still limited
• Dwell times increasing across impacted ports (up to 10 days); Ops teams monitoring in real time.
• Carriers issuing early voyage terminations, port omissions, return voyages and forced diversions.
• Extended or special F/T do not apply any longer on any of the diverted shipments, and will be changed to either standard or zero days
• F/T removal though applies to all diverted shipments, but we see that for shipments diverted to Khor Fakkan this needs to be strictly followed as the Terminal is taking these steps to avoid the buildup of any congestion 

• Spot rates increasing sharply, with multiple GRIs in effect.
• Rising oil prices expected to elevate bunker levels.
• Port & transshipment congestion likely in Gulf and Asian hubs as re-routings intensify.
• Equipment imbalance emerging due to suspended flows and empty‑return bottlenecks.
• Freight tariffs (M‑level) centrally expired for MEA & Israel due to market volatility.

• Due to foreseeable impact on jet fuel price, carriers started to introduce FSC increases
• Indirect impact: Routing changes on EU-AP and AP-EU lanes lead to increased operating cost
• Alternative routings of GCC bound shipments will attract additional lead times and rate adjustments 

• Rates adjustments: Airfreight rates to Middle East region have been suspended, rate levels to other regions will be updated on regular basis including temporary adders
• Airfreight rate originating from Europe, Asia and Americas will be subject to temporary adders on lane level
• Fuel surcharges subject to increase

• UAE customs is operational and all is working as of now

• Customs Operational in all ports

• Kuwait customs is operational and all ports are functioning - But airspace is closed

• Hamad International Airport: Customs operational in all ports
• Hamad Port: Customs operational in all ports
• Abu Samra Border: Customs operational in all ports

• Bahrain Airport Services:  no operation at airport and sea port today 
• Khalifa Bin Salman Port:  no operation at airport and sea port today 
• King Fahad Causeway:  no operation at airport and sea port today 

• Airport: 
  • customs operational in all ports
• Seaport:
  • Apart from Salalah port, Customs operational 

• BGW, EBL and BSR Airpots / UQ: Iraq customs is operational, but all flights still suspended
• IKB border with Turkey: Iraq customs is operational, but all flights still suspended

Is the Strait of Hormuz open for commercial container shipping?

No. The Strait of Hormuz is de facto closed for container vessels, with shipping lines focused on evacuating vessels from the Arabian Gulf under high risk.

Are bookings accepted from Far East to Upper Gulf ports like Qatar and Kuwait?

Yes. Cargo from Asia is accepted via gateways such as Khorfakkan and Fujairah, followed by bonded trucking and feeder services to Upper Gulf ports.

Which gateway ports are currently used for diverted ocean cargo?

Key gateway ports include Jeddah, Khorfakkan, Fujairah, Omani ports and eastern UAE ports.

How severe is congestion at Gulf ports?

Congestion remains high, especially at Khorfakkan, Jeddah and Omani ports, with vessels waiting to berth and containers facing delays after discharge.

Where are delays happening after containers are discharged?

The main delays occur during onward movement from gateway ports to final destinations, often taking seven to ten days.

How long is port congestion expected to continue?

Congestion is expected to persist at least until mid-June while diverted cargo from India and Sri Lanka is cleared.

Are demurrage and detention charges a major risk?

Yes. Prolonged dwell times at congested ports significantly increase demurrage and detention exposure.

Are dangerous goods accepted via ocean freight?

Yes. Certain DG classes such as Class 3, 8 and 9 are accepted, subject to carrier and port approvals, with Jeddah being more flexible.

Is air freight capacity improving in the Middle East?

Yes. Gulf carriers have restored over 80% of pre-crisis capacity, though routing adjustments and short delays remain possible.

Are there ongoing airspace restrictions?

Most airspaces are open, but aircraft may take longer routings due to security-related corridor adjustments.

Is Kuwait Airport fully operational?

Kuwait Airport has reopened but remains below 20% recovery compared to pre-crisis capacity.

Are fuel surcharges starting to decrease?

Yes. Fuel surcharge levels have started to soften, although jet fuel availability remains a topic to monitor.

Is there a shortage of jet fuel impacting DHL operations?

No immediate impact. DHL has secured sufficient fuel and continues operating flights as scheduled.

Are pharma and life-science air solutions available?

Yes. Dedicated air solutions continue to support life-science and healthcare shipments across the GCC.

Are road connections across the GCC operational?

Yes. Road freight is operating across the GCC, though congestion exists at certain ports and borders.

What alternative road routes are available from Europe to the GCC?

Routes via Turkey using corridors through Syria, Iraq, Jordan and Lebanon are operational.

Is the Europe–Turkey–GCC landbridge solution safe?

Yes. Convoy movements, customs controls and DHL supervision ensure cargo safety, though additional documentation may be required.

Are there capacity constraints for trucking?

Trucking capacity is under pressure due to high volumes and regulatory changes, but operations continue.

Are empty trucks still allowed to cross GCC borders?

Some earlier flexibilities are being tightened, increasing pressure on the trucking network.

Is the Beirut multimodal solution available?

Yes. Cargo can move via Beirut by sea, followed by trucking through Syria and Jordan, offering competitive transit times.