Container Shipping Companies Halt Bookings, Divert Vessels Due to Middle East Risks
Container shipping companies have begun halting bookings and diverting vessels as they respond to the increasing security risk in the Middle East.
Hapag-Lloyd said Wednesday that it has suspended all bookings to and from the Upper Gulf region due to the current operational and security constraints in the area.
With immediate effect and until further notice, the German shipping group has stopped taking bookings for all cargo types to and from the United Arab Emirates, Iraq, Kuwait, Qatar, Bahrain, Yemen and certain ports in Oman and Saudi Arabia.
"Our teams are actively monitoring the situation and will continue to assess developments closely," it said.
The company on Tuesday suspended all vessel transits through the Strait of Hormuz until further notice, echoing moves from other container shipping companies.
MSC has declared an "end of voyage" for all shipments destined for the Persian Gulf that are currently in the company's custody, whether at sea or ashore, meaning all shipments currently en route will be diverted to the next safe port of discharge.
CMA CGM said its vessels with shipments to or from Iraq, Bahrain, Kuwait, Yemen, Qatar, Oman, the United Arab Emirates and Saudi Arabia will divert to contingency ports.
Danish shipping group A.P. Moller-Maersk suspended all new bookings between the Indian subcontinent--India, Pakistan, Bangladesh and Sri Lanka--and the Upper Gulf markets of the United Arab Emirates, Bahrain, Qatar, Iraq, Kuwait, and Saudi Arabia's eastern ports.
Maersk's suspension doesn't apply to other trade corridors, but it has suspended temperature-controlled and dangerous and special cargo acceptance in and out of the United Arab Emirates, Oman, Iraq, Kuwait, Qatar, Bahrain, Jordan and Saudi Arabia until further notice.
Write to Dominic Chopping at dominic.chopping@wsj.com
