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Disruptions in the Strait of Hormuz: German Shipping Giant Reports Weekly Costs Exceeding $50 Million
The passage through the Strait of Hormuz continues to be obstructed. On May 8, local time, Niels Haupt, an executive from the German shipping giant Hapag-Lloyd, stated in an interview that since the outbreak of conflict, the company has incurred an average of at least $50 million in additional costs per week. Niels Haupt, Hapag-Lloyd executive, said: ‘This conflict has added at least $50 million in costs for Hapag-Lloyd each week. For the entire logistics industry, whether it be land transport companies, airlines, or container shipping companies like ours, the biggest cost is fuel. Currently, the likelihood of a significant drop in fuel prices in the coming days or weeks seems low.’