Finance
MSC to offload all cargo bound for gulf at nearest safe seaport
Published by Global Banking & Finance Review®
Posted on March 3, 2026
3 min readLast updated: March 3, 2026
Quick Summary
MSC has declared an “End of Voyage” for all cargo and empty containers bound for Gulf ports, diverting them to the nearest safe seaport due to hostilities in the Middle East. A mandatory $800 surcharge per container will be applied to cover deviation costs; customers assume responsibility at dischar
MSC Diverts All Gulf Cargo to Nearest Safe Seaports Amid Middle East Unrest
Impact of Middle East Hostilities on MSC Cargo Operations
By Lisa Baertlein
MSC's End of Voyage Declaration and Immediate Actions
LOS ANGELES, March 3 (Reuters) - MSC, the world's largest carrier of ocean container cargo, said on Tuesday all cargo bound for ports in the Gulf will be offloaded at the nearest safe seaport due to ongoing hostilities in the Middle East following U.S. and Israeli attacks on Iran.
The move, known as an "End of Voyage" declaration, also applies to empty containers that have been released for loading with cargo and are intended for export to the ports in the Gulf, Geneva-based MSC said in a customer advisory.
Financial Implications for Shippers
A mandatory surcharge of $800 per container will apply to all affected shipments, without exception, to cover deviation costs, MSC said.
"MSC sincerely regrets the necessity of this decision, which arises from exceptional circumstances beyond its control," the company said.
Responsibilities Shift to Customers
Customers will assume responsibility for the container at the discharge port, said Lars Jensen, CEO of container shipping-focused consultancy Vespucci Maritime, on LinkedIn. That means shippers are responsible for finding alternate transportation and paying local port fees, he said.
Broader Shipping and Economic Consequences
Strait of Hormuz Congestion and Fuel Price Concerns
The hostilities have caused vessels including oil tankers and container ships to back up at the critical Strait of Hormuz chokepoint, sparking worries that global fuel prices could soar.
Current Container Ship Presence in the Region
As of Sunday, 158 container ships were present in the Middle East, including the Gulf of Oman, the Arabian Sea and the Gulf, representing just 2.1% of the current active container ship fleet, according to data from Drewry, a London-based maritime consultancy.
Industry Response and Outlook
Shipping Lines Suspend Cargo Acceptance
MSC and Ocean Network Express, known as ONE, earlier this week stopped accepting cargo bound for the affected areas in the Middle East. Industry experts warned that the hostilities would trigger cascading delays and disruptions that could take weeks to play out as operators reroute ships, containers and other assets.
Expert Analysis on Container Shipping Sector
Comparative Impact on Shipping Sectors
"Container shipping has less to lose from the Iran conflict compared to other shipping sectors, but it cannot escape disruption and higher costs," said Simon Heaney, Drewry's senior manager of container research, in a report on Tuesday.
(Reporting by Lisa Baertlein; Editing by Jamie Freed)
Key Takeaways
- •MSC is diverting all Gulf-bound cargo and empties to the nearest safe port, citing exceptional circumstances beyond its control.
- •A mandatory surcharge of $800 per container is being imposed to offset deviation costs.
- •Customers take ownership at the discharge port and face added responsibilities for onward transportation and local fees.
Frequently Asked Questions about MSC to offload all cargo bound for Gulf at nearest safe seaport
1Why is MSC offloading Gulf-bound cargo at alternative seaports?
MSC is offloading Gulf-bound cargo at the nearest safe seaports due to hostilities in the Middle East following attacks involving the U.S. and Israel on Iran.
2What surcharge will apply to these diverted shipments?
A mandatory surcharge of $800 per container will apply to all affected shipments to cover the cost of deviation.
3Who assumes responsibility for containers after offloading?
Shippers will be responsible for the container at the discharge port, including arranging alternate transportation and paying local port fees.
4How is the Strait of Hormuz affected by the current conflict?
Vessels, including oil tankers and container ships, are backed up at the Strait of Hormuz, causing concerns over global fuel prices.
5What potential supply chain impacts are expected?
Experts warn of cascading global shipping delays and disruptions that could take weeks to resolve as operators reroute vessels and assets.
