On Friday, Maersk, the renowned Danish shipping conglomerate, announced a temporary suspension of two crucial services connecting the Middle East with Asia and Europe. This decision comes as the ongoing conflict involving Iran continues to wreak havoc on international supply chains.

Maersk, often seen as a key indicator of global trade health, revealed that it had paused the FM1 service, which links the Far East with the Middle East, and the ME11 service, which connects the Middle East to Europe. This move aims to prioritize the safety of their crew and ships amid the heightened tensions.

This strategic suspension occurs as the military offensive led by the U.S. and Israel against Iran enters its seventh day, significantly impacting maritime activities in the region. The conflict has effectively brought shipping operations in the critical Strait of Hormuz to a standstill.

The Strait of Hormuz is a vital maritime passage connecting the Persian Gulf and the Gulf of Oman, through which about 20% of the world’s oil and gas flows. As a result of the conflict, major container shipping companies have already ceased operations through this narrow waterway. Since February 28, when the U.S. and Israel began their offensive, vessels have been rerouted around Africa’s southern tip to avoid the conflict zone.

According to freight analytics firm Xeneta, this escalating crisis has left 147 container ships stranded in the Persian Gulf, contributing to significant delays, port congestion, and a surge in freight rates that are affecting global markets. The repercussions are being felt across the shipping industry as companies scramble to adapt to this rapidly evolving situation.

The crisis has left 147 container ships sheltering in the Persian Gulf, according to freight analytics firm Xeneta, prompting delays, port congestion, and freight rate increases that are rippling across global markets.

Alongside the changes to the FM1 service and the ME11 service, Maersk said its shuttle services in the Persian Gulf region were suspended until further notice.

The ME1 service connecting the Middle East to northern Europe will temporarily drop the call in Jebel Ali, a major port city in the United Arab Emirates, Maersk said, and continue to call India and Oman.

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