The Strait of Hormuz is effectively closed to major commercial traffic following recent military escalations. MSC, Maersk, and CMA CGM have suspended all new bookings to the Upper Gulf, including Jebel Ali (Dubai), Dammam, and Kuwait.
Some carriers have already declared Force Majeure. This allows them to end voyages at “safe ports” like Salalah or Jeddah rather than reaching your final destination.
If your cargo is on the water for Dubai or Doha, it may never arrive there. Carriers are invoking Clause 10 of the Bill of Lading. This lets them dump your container at a midway port legally.
You are then stuck with the bill for the “last mile.” MSC has already started hitting shippers with an $800 “End of Voyage” charge per container for these forced diversions.
What it means for you:
Your Dubai-bound cargo will likely be offloaded in Oman or Saudi Arabia. You must find and pay for emergency trucking or local storage that wasn’t in your original budget.
In a crisis this fast, manual tracking is a liability. You cannot rely on “once-a-day” email updates from agents. Use Real-Time Transportation Visibility (RTTV) tools that pull direct GPS data from the vessel.
If a ship diverts to the Cape of Good Hope or stops in Jeddah, your system should alert you instantly. Automated tracking allows you to re-route trucks to a different port before the container even hits the ground.
What you should watch
Watch for Emergency Conflict Surcharges (ECS). These are appearing on invoices between $2,000 and $4,000 per box. For urgent GCC shipments, look for “land-bridge” options.
Cargo is moving by sea to Jeddah, then by truck across the peninsula to reach the UAE. It is expensive, but it is the only way to bypass the Hormuz blockade right now.
What to avoid
Avoid booking Reefer or Dangerous Goods (DG) for the Middle East. Lines are refusing these because they cannot sit in transit ports indefinitely without power or safety clearance.
Do not trust standard cargo insurance to cover this. Most policies exclude War Risk or Rejection, meaning you could lose the entire value of the cargo if it’s seized or abandoned.
Digital Logistics Check: If your current software doesn’t show you exactly where your boxes are within 50 meters, you are flying blind. High-speed data is the only way to manage these surcharges without losing your margin.
Amit Maheshwari is the CEO of Softlink Global. He built Logi-Sys, a freight platform now used in over 50 countries. With 30 years in the industry, he focuses on fixing operational bottlenecks through software. He writes “IT in Logistics” for PortCalls Asia to cut through the tech hype and address the reality of moving cargo.
