URGENT UPDATE REGIONAL DISRUPTIONS 03 – IMPACTING MIDDLE EAST SHIPMENTS

Dear Valued Partner, Valued Customer and overal Valued Friend,

We would like to provide you with an urgent update regarding the rapidly evolving situation in the Middle East and the resulting impact on global and regional logistics flows. The Strait of Hormuz is effectively closed, and commercial vessels are unable to safely transit the area. While the United States has signaled willingness to provide naval escort, this is not yet a viable operational solution for private carriers, and shipping lines continue to halt or divert their services for safety reasons. This remains the central constraint shaping all current routing and service options.

Despite these challenges, we continue to manage cargo flows using the corridors that remain open, specifically:

Open Overland & Regional Corridors

Saudi Arabia → Oman (via cross‑border trucking, onward ocean export via Sohar)
Kuwait / Qatar / Bahrain → UAE, with cargo able to move out via UAE or Oman

These corridors allow for continued cargo movement while avoiding the closed chokepoint.

Ocean Freight Update

To ensure the safety of personnel and the integrity of cargo across affected Middle East trades, the following measures are in effect:

Cargo Acceptance Restrictions

Suspension of reefer, dangerous goods, and special cargo acceptance to/from UAE, Oman, Iraq, Kuwait, Qatar, Bahrain, Jordan, and Saudi Arabia until further notice. Exceptions apply for essential goods such as critical food items, medicine, and humanitarian cargo.
Suspension of all new bookings between the India Subcontinent (India, Pakistan, Bangladesh, Sri Lanka) and the Upper Gulf: UAE, Bahrain, Qatar, Iraq, Kuwait, and Saudi Arabia (Dammam & Jubail). This suspension does not apply to other trade corridors.

Terminal Operations Update

UAE, Qatar, Saudi Arabia, and Iraq terminals: Fully operational
Kuwait: Shuwaikh Port – fully operational – Shuaiba Port – partial operations resumed
Bahrain: Port operations suspended
Oman: Sohar Port fully operational

Air Freight Update

A number of countries: UAE, Qatar, Bahrain, Kuwait, Iraq, and Iran have temporarily closed airspace or imposed restrictions. As a result:

Airlines have cancelled or rerouted flights
Reduced flight options and last‑minute schedule changes are expected
Transit times may increase significantly
Rate volatility is expected due to capacity constraints
Carriers are evaluating or implementing war risk surcharges
Rising jet fuel costs may further contribute to rate increases
Sea‑port and ocean disruptions are also affecting Sea‑Air cargo, especially through key hubs. Ground operations at airports (cargo handover, acceptance, processing) may experience delays due to staff shortages or local restrictions.

Landside Operations Update

Landside services including trucking, rail, and warehousing remain operational across most of the region. However:

Border congestion and customs delays should be expected
Security‑related route changes may affect transit times and cost
We continue to monitor cross‑border activity to maintain fluidity where possible

Existing Bookings & Cargo in Transit

Bookings accepted prior to this advisory will be reviewed case‑by‑case based on current operational constraints.
Cargo already in transit remains under active monitoring, and customers will be contacted directly if adjustments or contingency actions are required.

Emergency Freight Increase Strait of Hormuz Closure

Due to the closure of the Strait of Hormuz and the significant rerouting and operational challenges resulting from it, all carriers have implemented Emergency Freight Increases (EFI) for cargo moving to/from:

UAE, Qatar, Saudi Arabia (Dammam & Jubail), Bahrain, Kuwait, Iraq, and Oman (Sohar). Carriers are applying these adjustments under contractual rights, reflecting increased operational costs, insurance exposure, and route detours.

We Are Here to Support You! Although the regional environment remains highly disrupted, we continue to:

Maintain active corridors via Saudi Arabia, UAE, and Oman
Provide alternative routing and inland options where feasible
Monitor carrier advisories and security updates in real time
Prioritize the safe and efficient movement of your cargo

Roughly 10% of the world container capacity is stuck in the middle east, this will create a ripple effect in the complete supply chain worldwide as we have seen prior in challenging time. Your local representative remains available to discuss shipment‑specific impacts and assist with contingency planning from the Middle East, Europe or worldwide for that matter as this is not an exclusive gulf region problem anymore. We appreciate your patience and continued trust during this exceptionally challenging period.

Kind regards, Mit freundlichen Grüßen, Bien à vous, تحيات حارة,