Conflict disrupts global shipping: Implications for transport operators

The ongoing conflict in the Middle East is causing significant disruption to global shipping routes. For transport operators arranging international moves, the disruption is affecting container availability, transit times and freight costs.

Companies arranging international shipments may encounter dropped shipments, stranded containers and escalating freight charges, all of which can create contractual and financial exposure if not carefully managed.

Below we summarise the key risks and outline practical steps operators may wish to consider.

Shipping disruption and route changes

Several major shipping lines have altered or suspended transits through high-risk areas in the Middle East due to security concerns and rising insurance costs.

This can result in:

• Extended transit times, often by 10–20 days or more

• Unpredictable sailing schedules, with vessels skipping ports or delaying departures

• Container shortages, particularly where equipment becomes trapped in disrupted regions

These factors can significantly affect the timing and cost of international shipments.

Dropped shipments

A “dropped shipment” generally occurs where cargo is removed from a planned vessel sailing before departure, often due to space limitations, operational changes or security-related route adjustments. For removals companies, dropped shipments can cause delays to deliveries, additional storage costs and result in the need to rebook cargo at higher freight rates.

Where removals companies have promised delivery timeframes to customers, this may also lead to customer complaints or compensation claims.

Stranded containers

Another common issue is the risk of containers becoming stranded at ports or regional hubs. This can occur where vessels avoid certain ports due to security risks, or where congestion develops because of disrupted shipping schedules.

For operators, stranded containers can lead to:

• demurrage and detention charges

• storage fees at ports or container depots

• increased insurance premiums

• difficulty providing reliable delivery estimates to customers

Rising freight and insurance costs

The conflict has also resulted in a sharp increase in maritime war-risk insurance premiums and associated shipping surcharges.

Shipping lines may pass these costs on through surcharges and higher freight rates. For companies operating on fixed-price relocation quotes, these increases can quickly erode margins unless appropriate cost-recovery mechanisms are in place.

Practical steps to manage risk

Review and update customer terms

Operators should review contractual terms to ensure they provide adequate protection in the current climate.

Key considerations include:

• Force majeure provisions – contracts should allow for performance delays where events such as war, hostilities or disruption to transport routes occur.

• Transit time representations – care should be taken where contracts guarantee delivery windows, particularly where shipping schedules are outside the operator’s control. Delivery times should be clearly described as estimates rather than guarantees.

• Cost escalation provisions – contracts should allow businesses to recover additional freight charges, shipping surcharges or increased insurance costs where these arise.

• Fuel surcharge clauses – operators may wish to include provisions allowing charges to increase in line with fuel price fluctuations.

Communicate early with customers

Where shipments are delayed or rerouted, clear and proactive communication with customers can help manage expectations and reduce the risk of disputes.

Monitor demurrage and detention exposure

Where containers become delayed in port, operators should closely monitor timelines and liaise with shipping partners to minimise escalating port charges.

Conclusion

The current instability in the region is likely to continue affecting global container shipping in the near term.

For transport operators, the main operational risks include dropped shipments, stranded containers, longer transit times and rapidly increasing freight costs.

Careful management of contractual terms, proactive communication with customers and close coordination with shipping partners will be essential to minimise financial exposure during this period of disruption.

For guidance on shipping disruption and its operational impact, get in touch.