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Middle East Reaches Logistics Breaking Point

07
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07 Apr 2026 | Industry News

As part of their regular updates to IAM, reports from IAMTrusted member DASA International Movers and IAMX Validated member Move One echo the thoughts of industry analysts that the week ahead will shape operating costs and transit times for the foreseeable future.

Both members confirm that the Strait of Hormuz remains closed, with an Iraqi airspace block now fully active alongside Bahrain and Kuwait. Move One has provided a port-by-port report on the current status for the benefit of customers and IAM members as the conflict continues. Chief Executive Officer of DASA Craig Reilly has sent IAM the following update:

Ocean Freight

MSC has formally declared “End of Voyage” for all export cargo originating from the Gulf, meaning that cargo is being discharged at the nearest safe port, often outside the Gulf entirely, at the shipper’s risk and expense. “This is not a temporary hold,” explained Reilly. “It is a fundamental shift in how liner carriers are treating Gulf-origin cargo.”

Emergency rates are now standardized between $1,800 and $3,800 per container, with MSC adding an additional $800 Alternative Route fee. The Port of Khor Fakkan is experiencing 13-day delays and the Port of Sohar six days, but land-side congestion is worsening as cargo accumulates.

Air Freight

Regional airlines are operating at 60 to 70% of normal capacity. Europe-bound flights from Dubai and Doha are seeing three- to five-hour deviations to clear the combined Iraq, Bahrain, and Kuwait airspace block, and spot rates are rapidly increasing.

Relocations and Household Goods

DASA recommends adding 21 days to all standard transit time estimates for existing shipments, as customs authorities prioritize perishable foods and medical supplies. For families currently mid-move, the Muscat land bridge into the United Arab Emirates remains the most fluid option. The Saudi Landbridge from Jeddah to Riyadh and the SAR Rail corridors remain the only reliable inland routes, but rail capacity is now booked 14 days out. For upper Gulf cargo, Aqaba and the Jordan land bridge are absorbing increasing volume.

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