Middle East Conflict – Operational Update

17th June 2026

Update on Arabian Gulf Operations Following US–Iran Peace Announcement

Following the recent announcement of a US–Iran peace agreement, key terms—particularly those governing transit through the Strait of Hormuz—remain unclear. While the Iranian blockade is expected to be lifted on 19 June, it is still premature to define a detailed and reliable operational plan.

Shipping lines are actively monitoring developments and assessing potential scenarios.

Current Situation

• Vessel Congestion. Over 2,000 vessels are currently stranded within the Arabian Gulf. The immediate priority is to facilitate their exit to:

  • Allow crew rest

  • Reposition and redeploy available tonnage

• Carrier Caution. Shipping lines remain hesitant to redeploy vessels back into the region due to the risk of renewed disruptions.

Conditions for Resumption of Services

Before carriers can realistically resume services to the Arabian Gulf, several critical requirements must be met:

1. Clear Transit Agreement – Strait of Hormuz

   • Defined framework for vessel passage

   • Clarity on:

     • Transit fees

     • Additional operational constraints or requirements

2. Insurance Reinstatement

   • Confirmation from Lloyd's of London for coverage in the Strait of Hormuz and Arabian Gulf

   • Reinstatement of regional coverage by P&I Clubs

3. Safety Clearance

   • Removal of sea mines from the Strait of Hormuz

   • Estimated timeline: 30–60 days

4. Backlog Clearance

   • Significant cargo backlog persists across global ports

   • Priority for shipping lines will be:

     • Clearing existing backlog to Arabian Gulf destinations

     • Before accepting new bookings into the region

Interim Customer Guidance

Until further clarity is achieved, customers are advised to continue following existing Business Continuity Plans (BCP).

Operational Advisory – UAE Shipments:

• Jeddah Port Situation:

  • Severe congestion

  • Highly constrained and complex cross-border trucking into the UAE

• Recommendation (All Origins):

  • Avoid routing cargo via Jeddah (JED) and King Abdullah Port (KAP)

  • Use alternative UAE gateways:

    • Khor Fakkan

    • Fujairah

Next Steps

We will:

• Continue to closely monitor developments and negotiations

• Provide immediate updates once:

  • Services resume, or

  • Confirmed plans for resumption are announced

14th July 2026

In light of the ongoing geopolitical developments in the Middle East, logistics conditions may change at short notice. For the latest updates and specific trade lane information, please contact: anja.schweickert@dsv.com. Our team will be happy to provide the most relevant and up-to-date guidance for your shipments.