Middle East Logistics Disruptions & Contingency- 5

Table of contents

Dear Valued Customers,

Freight Systems is actively monitoring the evolving situation across the Middle East. Logistics flows across the UAE and Upper Gulf continue to face significant disruptions, with frequent changes in routing, booking availability, port operations, and cost structures.

  1. UAE Gateways – Critical Operational Update
Port /GatewayCurrent StatusImpactNext Steps
Khor Fakkan PortOperations resumed (partially open as per the latest Gulftainer advisory)Earlier suspension impacted vessel calls, feeder, transshipment, and multimodal solutions; gradual normalization expectedGradual normalization expected; updates will be communicated as operations stabilize

Export and empty containers are currently restricted at the terminal gates, and mandatory pre-arrival cargo documentation and screening requirements are in place. Delays or incomplete submissions may affect. As a result, alternative routing strategies continue to be prioritized.

  1. Ocean Freight – Market Situation
Region / Cargo TypeStatus / Notes
UAE, Saudi Arabia (Dammam & Jubail), Kuwait, Qatar, Bahrain, IraqWidespread booking restrictions; case-by-case acceptance
Dry CargoRestricted (limited exceptions)
Reefer / Essential CargoPrioritized via alternative gateways
Dangerous Goods / OOGHeavily restricted or suspended
Critical Cargo (Food, Medical, Perishables)Priority handling continues

Carrier Operations: Avoiding direct Upper Gulf calls; selective services via alternative hubs

  1. Alternative Routing & Green Corridor Solutions
Corridor / GatewayDetailsStatus / Usage
Saudi Corridor (Primary)Via Jeddah & King Abdullah Port → land bridge into UAE, Bahrain, Kuwait, QatarMost stable & scalable
Oman CorridorSohar (active), Salalah (limited & conditional) with cross-border truckingIncreasing utilization
UAE Alternative GatewaysFujairah (subject to carrier acceptance)Limited availability
  1. Air Freight Updates
AspectCurrent Status / Notes
CapacityConstrained and volatile
RoutesAdjusted due to airspace conditions
CostsIncreased due to fuel volatility
New Cost ComponentsFuel Surcharge (FSC) – weekly review; Transit Disruption Surcharge (TDS)
  1. Commercial & Operational Impact
Impact AreaDetails / Notes
Transit TimesLonger and less predictable
Booking ConfirmationOnly upon carrier approval
Freight CostsEmergency Freight Surcharge (Ocean), War Risk & Insurance adjustments, Fuel surcharges (air/land)
Pricing ModelPossible temporary shift to spot / short-validity pricing

 

  1. Cargo in Transit – Contingency Measures
OptionDescription / Notes
Continue VoyageTemporary storage at intermediate hubs
Change of DestinationRerouting to the alternate discharge port
Return to OriginSubject to feasibility
Additional CostsStorage charges may apply after the initial free period (approx. 14 days)
  1. Landside & Multimodal Expansion
Route / GatewayNotes
Jeddah → GCC (UAE, Bahrain, Kuwait, Qatar)Land bridge solutions expanded
Sohar / Salalah → GCCMultimodal logistics are utilized for supply chain continuity
Khor Fakkan / Fujairah → Regional inland distributionWhen operational, integrated multimodal solutions are available
  1. Empty Container & Equipment Constraints
Location / AspectStatus / Notes
Standard Return DepotsDisrupted in several locations
Designated Return PointsJeddah (Saudi Arabia), Salalah (Oman)
Additional ChargesDrop-off fees may apply depending on location
Equipment AvailabilityRepositioning remains a key challenge
  1. Demurrage & Detention Support Measures
Support TypeDetails / Notes
Free Time ExtensionsCase-by-case review
Flexible Detention & DemurrageApplicable for POD changes, routing disruptions, transit delays
ObjectiveMinimize additional cost exposure for customers

Freight Systems has activated a comprehensive contingency framework to support customers through these disruptions. Key measures include:

  • Deployment of green corridor solutions via Saudi Arabia and Oman
  • Flexible multimodal routing based on cargo priority
  • Close coordination with carriers and regional partners
  • Continuous monitoring of operations and schedules
  • Proactive shipment updates and advisory support

To ensure smooth logistics operations, we strongly advise customers to plan shipments well in advance, confirm routing and pricing prior to cargo readiness, and allow additional transit buffer to accommodate dynamic routing and port conditions. Customers should also remain flexible with gateway and routing options and maintain close coordination with Freight Systems teams to receive timely updates and support throughout the shipping process.

*All transit times, routings, and rates remain subject to carrier confirmation, operational feasibility, customs and regulatory compliance, and security developments at the time of shipment execution.

For shipment-specific support, please contact your Freight Systems representative.

We extend our sincere wishes for the safety and well-being of you and your family during this time.

Regards,

Team Freight Systems

 

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