A1 Worldwide Logistics - International Shipping Company

  As the Iran-Israel conflict continues to escalate, global trade can soon see the Iran war disrupting shipping. Iran and Israel have been in a back-and-forth for decades, which has escalated in recent years. More recently, Israel and the US started what President Trump called “major combat operations”, bombing various locations in Iran. Trump noted that the strikes were to “prevent this very wicked, radical dictatorship from threatening America.” With the escalation continuing, numerous supply chains that rely on commodities from the location, such as oil, will be affected. With warnings of future strikes and broader conflict, the war could soon have a greater impact on international shipping. How Is The Iran War Disrupting Shipping?   The Iran war is disrupting shipping in numerous ways, including halting trading routes and creating supply chain bottlenecks.  A primary issue is that the conflict is happening near the Strait of Hormuz . This strait is responsible for nea...

  As tensions continue in the Israel-Iran conflict, there have been talks that Iran may close the Strait of Hormuz.  The Strait of Hormuz is a key waterway for the shipping of oil and gas . Nearly 20% of the world’s liquefied Natural gas and a quarter of the world’s oil pass through yearly. Shippers from numerous countries use it as a shortcut for oil importing and exporting. On June 22, the Iranian Parliament voted to close the Strait due to US airstrikes. Despite the vote, the Strait remains open, with Iran’s Supreme National Security Council to make the final decision. As the waterway is a central trade lane in international shipping, its closure could have significant global consequences. Why Iran May Close The Strait of Hormuz, And What Can This Mean For Shipping? Israel and Iran have been in tension and have been in conflict for decades following the 1979 Iranian revolution. The conflict escalated into a war on June 13 when Israel launched a surprise attack on Iranian nu...