Since the outbreak of conflict in the Middle East in late February 2026, the Strait of Hormuz has remained largely inaccessible to commercial shipping, and the Suez Canal continues to be avoided by major ocean carriers. As a result, the great majority of vessels serving Asia, Europe and Australia are now routing via the Cape of Good Hope, adding roughly 10 to 14 days to normal transit times. Congestion at key transshipment ports across Asia and the Gulf is compounding these delays.
The Practical Effects on our Operations and your Orders include:
- Longer transit times: shipments that would normally take 3-4 weeks from Asia are now taking 4-6 weeks or more, depending on origin and destination port.
- Higher freight rates: ocean freight rates on Asia-Australia lanes have risen sharply in recent weeks amid tight vessel capacity and strong demand, and carriers continue to apply war risk, emergency bunker, and peak season surcharges on top of base rates.
- Booking and equipment constraints: container availability at some Asian origin ports is tighter than usual, which can affect our ability to confirm sailing dates at short notice.
- Fuel-related surcharges: elevated bunker fuel costs, driven by higher oil prices since the conflict began, are being passed through by carriers via fuel recovery surcharges that reset quarterly.
Century will Continue to:
- Actively engage with Shipping Lines to be able to secure the best available rates along with capacity on direct vessels (where available).
- Encourage bookings with advance notice where possible.
- Provide updated lead times at order placement, proactively notifying you of any changes.
What this may mean for you:
Please expect extended lead times on new orders for the foreseeable future. Freight-related costs and surcharges may change on shipments booked while the current conditions persist. The more notice we have for new orders and forward planning will be appreciated.
The situation remains fluid, and industry analysts currently expect disruption to continue through the remainder of 2026. We are watching developments closely, including any resumption of normal Strait of Hormuz and Suez Canal transits, and will continue to keep you updated.
We sincerely apologise for any inconvenience this may cause. We thank you for your patience and understanding during this period. If you have any questions about a specific order or shipment, please do not hesitate to contact us directly.
Disclaimer: This publication contains comments of a general nature only and is provided as an information service. It is not intended to be relied upon without, nor is it a substitute for, specific professional advice. No responsibility can be accepted by Century Customs Services Pty Ltd (trading as Century Freight) or the authors and you release each of them for any loss occasioned to any person doing or not doing anything as a result of any material in this publication.
Except as otherwise set out, Century Customs Services Pty Ltd ACN 36 003 680 108 (trading as Century Freight) or its related entities, owns all copyright in and to this publication and reserves all rights. Except as permitted by the Copyright Act 1968 (Cth), you must not reproduce, modify, use, publish, transmit, or record any part of this publication without our written consent.
–– Ana Paola Bautista Méndez
