Shipping operations in the Strait of Hormuz are expected to function at less than half of prewar levels for several months, even if the U.S.-Iran peace deal holds, according to a Japanese shipping giant.
NYK Line CEO Takaya Soga told The Financial Times that shipping through the region would resume only at much lower volumes, as safer routes near Iran and Oman have limited capacity, constraining maritime traffic. “The routes available for navigation are extremely limited — they’re very narrow corridors,” Soga stated.
He further added that the shipping industry is “still nowhere near returning to conditions before the closure of the Strait of Hormuz.” The type of naval mines Iran deployed remains unknown, potentially making them harder to detect and remove.
Soga said there is no firm evidence to support the forecast for a recovery in shipping levels, but he anticipates “less than half the normal volume for a while, even if we can properly get in and out”.
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