French container line CMA CGM is deploying alternative multimodal solutions combining sea, rail, and road transport to maintain supply chain logistics around the restricted Strait of Hormuz.
The Marseilles-based carrier said the options prioritize the safety of crew and employees while mobilizing support for customers’ supply chains, and ensuring continuity of trade to and from the Middle East.
Iran has restricted access to the strait guarding entry to the Persian Gulf since shortly after being attacked Feb. 28 by Israel and the United States. Hundreds of ships have been trapped, threatening energy supplies and other commodities, and sending global prices soaring.
Though physically 20 miles wide, Hormuz only offers single-file passage in and out through two mile-wide channels. Only ships from China, India and Turkey have been granted access by Tehran. Some individual vessels have reportedly made a run for it under cover of night with their identification systems turned off.
CMA CGM’s plans include deployment of multiple alternative transport solutions and strategic entry points for Gulf-bound flows connecting the United Arab Emirates, Saudi Arabia, Oman, Iraq, Qatar, Bahrain, Kuwait, and Jordan via the ports of Khor Fakkan and Fujairah (UAE), Sohar (Oman), and Jeddah (Saudi Arabia).
From these ports, CMA CGM offers logistics corridors to serve the main hubs in the UAE (Khalifa, Jebel Ali, Sharjah), and other countries bordering the Arabian Gulf via a combination of regional road and maritime transport.
Six Gulf countries will be connected by road and rail routes from ports located outside the strait.
From Jeddah on the Red Sea, CMA CGM has established road corridors, with or without maritime connections, for onward delivery to Saudi Arabia (Dammam), the UAE, Qatar, Bahrain, Kuwait, and Iraq.
“This setup also allows flows to connect to the Mediterranean and Asia without exposure to the strait,” the company said in a statement.
Omani ports also provide a third major alternative route for regional and cross-border flows to the UAE and northern Gulf countries, combining road and feeder services.
Read more articles by Stuart Chirls here.
Related coverage:
Trump temporarily suspends Jones Act as energy prices soar: Report
Derek Barrs defends FMCSA’s bold moves at TCA
6th Circuit rejects NLRB’s Cemex rule, dealing blow to unionization efforts
Amazon defrauded: guilty plea in $3M+ fraud involving trailers
Brokerage Compliance Symposium
The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
F3 Awards Dinner
The night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
F3: Future of Freight Festival
Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowThe night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowIndustry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now