Middle East Conflict — Australian Freight Update: 4 March 2026
⚠️ Updated 4 March 2026 | Confirmed Surcharges Active | In-Transit Cargo Impacted | All Hormuz Transits Suspended
This is now the most significant multi-modal freight disruption to impact Australian supply chains since COVID-19. Every mode of transport connecting Australia to the Middle East, Europe, and beyond is affected. This update covers everything Australian importers and exporters need to know as of 4 March 2026.
The Big Picture — What Has Happened
On 28 February 2026, US and Israeli forces launched coordinated strikes on Iranian targets. Iran retaliated with missile and drone attacks across multiple Gulf countries, triggering airspace closures over 11 nations and forcing every major ocean carrier to suspend Strait of Hormuz transits. In six days, the disruption has reshaped global freight routing completely.
For Australian shippers, the impact is direct and immediate. The Middle East is not just a destination — it is the critical transit hub for the vast majority of Australian sea and air freight moving to and from Europe, the UK, and South Asia. Dubai, Abu Dhabi, and Doha are the three most important waypoints in the world for Australian cargo. All three are now severely restricted.
✅ Jebel Ali (Dubai) — Back Online, But Restrictions Apply
DP World confirmed on 1 March that all four terminals at Jebel Ali — the largest container port in the Middle East — have resumed normal operations as of 18:00 UAE time. This follows a precautionary shutdown triggered by aerial interception debris in the port area. The Inchcape Shipping Services port operations report (3 March, 16:30 UAE) confirmed continued normal operations with no navigational warnings.
However, carrier-level restrictions mean Jebel Ali is not freely accessible for all cargo:
● Maersk has suspended reefer and dangerous goods acceptance to the UAE, and has suspended all new bookings between the India Subcontinent and Upper Gulf markets.
● CMA CGM (which owns ANL in Australia) has implemented a booking stop from Africa to Upper Gulf destinations via Jebel Ali.
● MSC has suspended all worldwide Middle East bookings until further notice.
● ONE, HMM, COSCO, OOCL, PIL have all suspended Middle East bookings.
Do not assume space is available. Contact D&D before placing any bookings.
✈️ Air Freight — Major Hubs Still Severely Disrupted (Updated 4 March)
All three major Gulf aviation hubs connecting Australia to the world remain either fully suspended or limited to repatriation operations only. This directly impacts air freight on Australia–Middle East, Australia–Europe, and Australia–UK corridors.
Emirates (Dubai DXB/DWC)
All scheduled commercial flights remain suspended until 23:59 Dubai time on 4 March. Emirates is operating a limited number of repatriation and freighter flights on 3–4 March — but only for passengers and cargo that have been directly contacted and confirmed. DO NOT proceed to Dubai airport without direct notification from Emirates.
Etihad (Abu Dhabi AUH)
All commercial flights suspended until 14:00 UAE time on 5 March. This is the fourth extension. Repatriation and approved cargo flights are operating in limited windows under GCAA coordination. Do not travel to Abu Dhabi airport without direct Etihad contact.
Qatar Airways (Doha DOH)
Fully suspended — this is now the fourth postponement. Qatari airspace remains completely closed. No timeline for resumption has been given. Qatar Airways Cargo operated 29 Boeing 777 freighters and 13 tonnes per day of capacity prior to the closure — this has effectively vanished from the global air freight market. Next update expected 09:00 Doha time 4 March.
Other Airlines Impacting Australian Routes
● Cathay Group: all Middle East operations fully suspended — includes DXB passenger and Al Maktoum freighter services — directly impacts Australia via Hong Kong.
● Singapore Airlines, Malaysia Airlines, Garuda Indonesia: Dubai/Riyadh/Doha routes suspended or rerouted until 4–7 March.
● Lufthansa / British Airways: Dubai and Abu Dhabi disruptions to 4 March; regional closures (Jordan, Iraq, Kuwait, Qatar, Bahrain, Dammam, Iran) to 8 March.
● Air France, KLM, Turkish Cargo, Finnair: Middle East routes cancelled/rescheduled.
● Oman Air: Asia-Pacific services continuing with rerouting — additional belly capacity being added on UK/Europe/India routes.
Globally, air cargo capacity is down 18% versus the prior week (Rotate data). 13% of all global air freight transits through the Gulf. For Australian air freight, backlogs at origin airports are building fast and will take weeks to clear once airspace reopens. Rates on Asia–Europe lanes are spiking.
🚢 Ocean Freight — Cape of Good Hope Only, All Hormuz Suspended
Not a single major ocean carrier is currently transiting the Strait of Hormuz. All have moved to Cape of Good Hope routing, adding a minimum of 14 days to voyage times and significantly increasing fuel and operating costs.
● Hapag-Lloyd: War Risk Surcharge (WRS) in force from 2 March. ME11 and IMX services rerouted Cape. Bookings to Middle East still accepted.
● CMA CGM / ANL Australia: Emergency Conflict Surcharge (ECS) in force from 2 March. Treating Hormuz as a hard risk boundary — accepting bookings for Fujairah and Khor Fakkan, suspending all Hormuz-crossing ports from Africa→Upper Gulf.
● Maersk: MECL and ME11 services Cape-only. Emergency Freight Increase (EFI) in force. India Subcontinent→Upper Gulf bookings suspended. No dangerous goods to/from Israel.
● MSC: All worldwide Middle East bookings fully suspended. Vessels directed to safe shelter areas.
● ONE, PIL, HMM, COSCO, OOCL: Middle East bookings suspended.
Maersk Update 3 (3 March) also confirmed that the port of Bahrain has been suspended, Kuwait operations are limited, and the India Subcontinent→Upper Gulf trade lane is closed for new bookings.
The Suez Canal remains fully operational (ISPS Level 1) but most carriers have suspended transits as a precaution given the Red Sea approach risk.
💸 Confirmed Surcharges — Including on Cargo Already At Sea
These fees are active NOW and apply to cargo already in transit
Hapag-Lloyd War Risk Surcharge (WRS) — Effective 2 March until further notice:
● Standard containers: USD $1,500 per TEU
● Reefers and special equipment: USD $3,500 per container
● Scope: Upper Gulf, Arabian Gulf, Persian Gulf — including cargo in transit
CMA CGM Emergency Conflict Surcharge (ECS) — Effective 2 March (applies to ANL Australia):
● 20ft dry containers: USD $2,000
● 40ft dry containers: USD $3,000
● Reefers and special equipment: USD $4,000
● Scope: UAE, Saudi Arabia, Qatar, Kuwait, Iraq, Oman, Bahrain, Jordan, Yemen and Red Sea ports
Maersk Emergency Freight Increase (EFI) — Active on all affected corridors.
ECU Worldwide Emergency Fee — Effective 4 March 2026:
● USD $75 per CBM applied to ALL cargo — including cargo in-water, booked, in CFS, or pending delivery
● Bookings suspended for: Bahrain, Kuwait, Iraq (Umm Qasr), Qatar, UAE (except Khor Fakkan & Fujairah), Saudi Arabia (except Jeddah, King Abdullah Port, Yanbu, NEOM)
● Smart routing available: Khor Fakkan / Fujairah → surface transfer into Jebel Ali
● Rate validity windows have been shortened — reconfirm all quotes before accepting
The Freight & Trade Alliance (FTA) and Australian Peak Shippers Association (APSA) have publicly stated: "The situation is already having direct and measurable impacts on Australian supply chains, with disruptions to air cargo connectivity, container shipping schedules, and the rapid imposition of significant conflict-related surcharges by major international carriers."
🛡️ War Risk Insurance — Cancelled for the Gulf
Steamship Mutual (one of the world's largest P&I clubs) has issued a Notice of Cancellation of war risk coverage for the Persian Gulf and Arabian Gulf, effective 72 hours after 0000 GMT on 1 March 2026.
Standard war risk insurance is no longer in force for most commercial vessels on Gulf routing. Insurance premiums for all Gulf movements have hardened significantly.
Action: Contact your cargo insurance broker immediately to confirm the status of your cover for any shipments on Gulf routing.
🇦🇺 Direct Impact on Australian Trade
This is not a distant regional event. For Australian businesses, the impacts are immediate, material, and multi-dimensional:
Supply Chain Costs
● Ocean freight to/from Middle East: WRS ($1,500–$3,500/ctr) + CMA CGM ECS ($2,000–$4,000/ctr) + ECU Emergency Fee ($75/CBM) all apply — simultaneously.
● Cape of Good Hope rerouting adds 14+ days and thousands of dollars in additional bunker costs per container on Australia–Europe trades.
● Air freight rates on Asia–Europe corridors (critical for Australian perishables, pharma and high-value cargo) are spiking sharply.
Export Exposure
● Approximately $5 billion in Australian goods are exported to the Middle East annually — meat, grain, fresh produce, dairy, wool and manufactured goods (FTA/APSA).
● $193 million in sheepmeat exported to Iran in the last financial year alone.
● Middle East exporters facing schedule disruption, surcharge exposure and space shortages simultaneously.
Energy & Fertiliser Risk
● Australia's national diesel buffer stands at approximately 34 days. The Strait of Hormuz carries around 20% of the world's seaborne crude oil.
● Iran supplies approximately 10% of global urea. Qatar and Saudi Arabia together supply a further 18%. With Australian seeding season approaching, fertiliser importers face acute supply and price risk.
● Commonwealth Bank agricultural economist Dennis Voznesenski predicted the conflict "is likely to lift fertiliser prices and negatively affect farmer margins."
● Analysts are warning sustained Hormuz disruption could push crude oil to USD $100–$130 per barrel, with direct flow-on effects for Australian fuel prices and all freight costs.
Port Status Summary — 4 March 2026
● Jebel Ali (Dubai): OPERATIONAL — all 4 terminals resumed 18:00 GST 1 March. Enhanced security. Carrier restrictions apply.
● Khor Fakkan, Fujairah, Sharjah: Fully operational at normal capacity. Fujairah: GPS spoofing warning offshore (LPA Nav Warning 01/2026).
● Bahrain: Port SUSPENDED (Maersk Operational Update 3). Airspace closed — Gulf Air monitoring.
● Kuwait: Shuwaik port operational; Shuaiba partially resumed. Airspace closed.
● Qatar (Hamad/Doha): No flights. Qatar Airways fully suspended. No timeline.
● Oman Sohar: Fully operational. Oman Air Asia-Pacific services continuing with rerouting.
● Suez Canal / Egypt: Fully operational at ISPS Level 1. Egyptian ports normal.
● Jordan: Stable — no incidents. General public-awareness guidelines only.
What D&D Is Doing for Our Clients
Our team has been in continuous contact with carrier partners, airline contacts and our global agent network since 28 February. We are:
● Monitoring all carrier bulletins, surcharge notices and airspace updates in real time, every day.
● Proactively reviewing every client shipment on affected routes and reaching out directly where we identify impact.
● Identifying and securing alternative routings — including Khor Fakkan / Fujairah to Jebel Ali via surface, and Dammam as Saudi pivot.
● Auditing carrier-applied surcharges on in-transit cargo to ensure accurate and transparent handling.
● Shortening quote validity — all open rates must be reconfirmed before acceptance.
What You Should Do Right Now
● Contact D&D immediately for any urgent Middle East or Europe-routing cargo.
● Call your cargo insurance broker TODAY — war risk cover is cancelled for the Gulf.
● If you have cargo in transit on Gulf routing — WRS, ECS, ECU fees may all apply simultaneously.
● Do NOT go to Dubai, Abu Dhabi or Doha airports without direct airline confirmation.
● Reconfirm all open quotes with D&D before accepting — rate validity has been significantly shortened.
● Identify "must-ship" vs "can-defer" cargo over the next 3–4 weeks.
● Build 4–5 weeks of extra lead time into all supply chain plans for affected routes.
● Fertiliser importers: contact us urgently — review forward supply pipeline now.
● Ask D&D about smart routing alternatives via Khor Fakkan, Fujairah, Singapore, Colombo.
D&D will continue publishing updates as conditions evolve. For the carrier-by-carrier breakdown, port status detail and surcharge schedule, visit the full briefing at:
Sources: DP World/Dubai Trade | ECU Worldwide Advisory | Inchcape Shipping Services | Maersk Updates | Emirates/Etihad/Qatar Airways Official | FTA/APSA Australia | Hapag-Lloyd | Grain Central | FreightWaves | Air Cargo News | ChannelNews AU | Reuters/Euronews



