10% rise in costs expected as shipping firms halt Middle East bookings, add risk charges

South China Morning PostEN 1 min read 100% complete by Ambrose LiMarch 4, 2026 at 09:18 AM

AI Summary

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Shipping costs from Asia to Europe are expected to rise by at least 10% due to the conflict in Iran. Major shipping companies, including MSC, CMA CGM, and Hapag-Lloyd, have suspended bookings to and from the Middle East or implemented war-risk surcharges, effective from March 1st. These surcharges range from $1,500 to $2,000 per TEU. The disruption to the global supply chain stems from cargo ships detouring to avoid the Gulf, leading to longer voyages and increased fuel costs. Industry representatives in Hong Kong anticipate that these factors will contribute to the overall increase in shipping expenses.

Key Entities & Roles

Key Player Opposition Context

Asia 50% Europe 50% CMA CGM 60% Hong Kong 60% Donald Trump 60% Israel 60% Hapag-Lloyd 60% MSC 70% Tommy Chung Ki-fung 70% United States 70% Iran ×280% Middle East ×390%

Keywords

shipping costs 100% middle east 90% war-risk surcharge 80% cargo transport 70% supply chain 60% shipping companies 50% fuel prices 50% bookings suspended 40% global trade 40%