In view of the increasing tension and war-like situation in the Gulf region, the world’s largest shipping company Maersk has stopped the movement of its ships through the Suez Canal and the Strait of Hormuz. On Sunday, March 1, 2026, the company took this big decision citing security reasons. This move is likely to have a deep impact on international trade as many other big companies have also stopped their work in the sector.
🗞️: Kuwait Missile Attack: Smoke rose near the American Embassy in Kuwait, flights stopped and oil prices increased.
What effect will closure of shipping routes have on the common man?
Due to this decision of shipping companies, there is a possibility of increase in the prices of goods across the world. This will have a direct impact on the expatriates living in Gulf countries and the common people living in India. When ships do not pass through main routes, they have to travel long distances, which increases expenses.
Petrol and diesel will be expensive: Crude oil prices have already seen a rise of 10 to 13 percent with Brent crude reaching $82 per barrel.
There will be delay in supply: Now ships will have to detour through Africa, which will cause weeks of delay in goods arriving and will increase shipping costs.
Extra charges apply: Companies like CMA CGM have started charging extra $2,000 to $4,000 per container.
Danger of inflation: Due to cost of oil and freight, prices of everyday items and electronic goods may increase.
Current situation and impact on business
Tension at sea has increased significantly following the warning given by Iran’s Revolutionary Guards and the recent attacks. Currently about 170 container ships and hundreds of oil tankers are standing at the mouth of the bay and are unable to move. The major changes can be understood in the table given below:
Topics of change Latest Update New sea route Ships are now being routed through the Cape of Good Hope Insurance rules War risk insurance cover for the Gulf region abolished Oil prices According to experts, prices may go up to $120-130 Government advisory US Navy and UKMTO have asked ships to avoid this area
Maersk has made it clear that the safety of its crew and ships is its first priority. Until the situation becomes normal, the movement of ships through Hormuz and Suez will remain closed. This decision is also expected to have a direct impact on the economy of countries like Kuwait, Saudi Arabia, Iraq and UAE because their trade depends on these sea routes.