BPA, Logistics Trends Related to Israel-Hamas Armed Conflict Analysis

Published 24 Oct.2023 16:07(KST)

Updated 05 Aug.2025 20:26(KST)

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Busan Port Authority (BPA) held a business consultation meeting on the 23rd to understand the impact and situation of major shipping companies due to the armed conflict between Israel and Hamas in the Middle East region by inviting global shipping companies.

The cargo volume share between Ashdod Port and Haifa Port in Israel, which are major ports in the conflict area, and Busan Port accounted for a small proportion of 0.1% and 0.2%, respectively, based on 2022 import and export data.

However, since 4 out of the total 14 European routes calling at Busan Port also call at the region, it is necessary to closely monitor the trends.

Eight shipping companies using Busan Port participated in this business consultation meeting, focusing on ▲the current fleet operation status of shipping companies due to restrictions on calling at Israeli ports caused by the Israel-Hamas armed conflict ▲the impact of increased costs for shippers and consignees such as marine insurance surcharges.

Busan Port Authority.

The major shipping companies attending the meeting stated that a war surcharge must be paid to call at ports in the conflict area, and although the transportation of hazardous materials is currently restricted, overall operations are proceeding normally.

They also anticipated that if reasons such as the full-scale deployment of Israeli ground forces and restrictions on the use of the Suez Canal due to escalation occur, there would be an overall impact on routes bound for Europe.

Kang Jun-seok, President of BPA, said, “To prepare for the escalation and prolongation of the Israel-Hamas armed conflict, we plan to regularly exchange opinions with shipping companies, the actual transport agents, and listen to their difficulties to prevent expected damages.”