South Korean container shipping costs to the Middle East continued their upward trajectory in May, marking the third consecutive monthly increase, as reported by the customs agency on Monday. This surge comes amid ongoing geopolitical tensions in the region, particularly involving Iran.
According to comprehensive data from the Korea Customs Service, the average shipping charge for a standard 40-foot container departing from South Korea for the Middle East rose by 4.9 percent from the previous month. This brought the cost to 6.81 million won (approximately $4,520) in May.
This latest figure highlights a persistent increase in shipping expenses, with costs notably higher than the 3.72 million won recorded in February.
In a separate, but related, development, US President Donald Trump announced on Sunday the successful completion of a peace deal with Iran. The agreement includes the authorization for the “toll-free” opening of the critical Strait of Hormuz and the “immediate” removal of a US naval blockade on Iranian ports. These measures are anticipated to significantly influence future maritime trade routes and stability in the Middle East.
Beyond the Middle East, container shipping costs to the US market also experienced substantial gains. The average charge for shipments bound for the US West Coast saw a significant 10.1 percent increase month-on-month, reaching 5.43 million won. Similarly, prices for containers destined for the US East Coast climbed 9.9 percent, totaling 5.63 million won.
Furthermore, shipping costs for routes connecting South Korea to the European Union also registered an increase, gaining 1.3 percent to settle at 3.71 million won.
