Strait of Hormuz Crisis Day 18: Zero Transits, Carriers Reroute to Cape

March 17, 2026 — A tanker was struck by an unknown projectile near Fujairah overnight, drone attacks set UAE oil facilities ablaze, and European allies rejected President Trump's calls for a naval coalition to reopen the Strait of Hormuz. The conflict is now entering its third week with no clear end in sight — and global shipping remains paralyzed.

For anyone shipping vehicles internationally, today's developments confirm what carriers have been warning: Middle East routes will remain disrupted for weeks, and freight costs will continue climbing.

Here is what happened today and what it means for your shipments.

Today's Key Developments: March 17, 2026

Another Vessel Struck Near Fujairah

A Kuwait-flagged LPG carrier was hit while at anchor approximately 23 nautical miles east of Fujairah in the Gulf of Oman late Monday night, according to the UK Maritime Trade Operations (UKMTO). The vessel, identified by security firm Vanguard as the Gas Al Ahmadiah, sustained minor structural damage but no crew injuries were reported. Maritime security sources told Reuters the impact may have resulted from debris from an intercepted aerial munition rather than a direct strike on the vessel.

According to UKMTO and Windward maritime tracking data, this brings the total number of maritime incidents in the region to approximately 21 since the conflict began on February 28, though incident counts vary by reporting methodology.

Fujairah is the UAE's only crude export terminal that bypasses the Strait of Hormuz — making it critically important as the main chokepoint remains closed. Repeated attacks on this facility threaten to cut off the last viable export route from the Gulf.

UAE Energy Infrastructure Under Sustained Attack

Iranian drone strikes hit multiple UAE energy facilities today:

• Shah Gas Field: Operations remain suspended at one of the world's largest ultra-sour gas developments after a drone attack ignited a fire Monday. The facility, located approximately 180 kilometres (about 110 miles) southwest of Abu Dhabi, supplies approximately 1 billion standard cubic feet of gas daily to the UAE's domestic grid — roughly 20% of the country's total gas supply — according to CNBC.

• Fujairah Oil Industry Zone: A separate drone attack sparked a fire at this critical bunkering and storage hub. This is the latest in a series of attacks on Fujairah facilities in recent days, according to Reuters.

• Dubai International Airport: The world's busiest international airport briefly suspended flights Monday after a drone hit a fuel tank, sparking a major fire near the facility, according to CNN.

The UAE temporarily closed its airspace Tuesday as an "exceptional precautionary measure" before reopening it approximately two hours later.

US Embassy in Baghdad Targeted Again

Video geolocated by CNN showed air defense systems engaging projectiles near the US Embassy compound in Baghdad early Tuesday. The Al-Rasheed Hotel in Baghdad's Green Zone was also struck by a drone, and the Majnoon oil field in southern Iraq came under attack.

Pro-Iranian militias released drone footage showing a device flying through the US Embassy compound, underscoring the persistent threat to American assets in the region.

European Allies Reject Trump's Hormuz Coalition

President Trump's campaign to build an international naval coalition to secure the Strait of Hormuz suffered another setback today. According to Axios, most NATO members have informed the US they will not participate.

Germany's Chancellor Friedrich Merz stated bluntly: "As long as this war continues, there will be no involvement," adding that "the US and Israel did not consult us before the war," according to NPR.

Other nations have also declined:

• Japan: Prime Minister Sanae Takaichi said Tokyo has made "no decisions whatsoever" about sending escort ships

• Australia: Ruled out sending ships to the strait

• Germany, Italy, Spain, Sweden, Poland: All declined military involvement

UK Prime Minister Keir Starmer said Britain is working with allies on a plan to reopen the strait but emphasized the UK "will not be drawn into the wider war."

Trump responded by calling the situation "a test" for NATO and warned: "We will remember."

Iran's Parliament Speaker: "Strait Cannot Return to Normal"

Iran's Parliament Speaker Mohammad Baqer Qalibaf said in a televised interview that the Strait of Hormuz "cannot be the same as before," suggesting no end in sight to the shipping crisis, according to CNN.

"There is no longer any security," Qalibaf said, adding that American and Israeli "presence" in the Gulf region means the waterway will remain under threat.

What This Means for Container and Vehicle Shipping

Fujairah Route Now Under Direct Threat

The Abu Dhabi Crude Oil Pipeline (ADCOP), which runs from onshore oil facilities at Habshan to Fujairah, was the UAE's workaround for bypassing the closed Strait of Hormuz. With Fujairah now under sustained attack, even this alternative is compromised.

According to Lloyd's List, loadings at Fujairah between March 9–15 were 66% lower than the previous week. Oil loadings at the port were halted for the second time in recent days after Tuesday's drone strike.

For vehicle shippers, this means:

• Container availability from UAE ports will remain constrained

• RoRo services calling at Jebel Ali or other Gulf ports face continued uncertainty

• Any cargo still in transit to Gulf destinations may be offloaded at alternative ports

Cape Route Remains the Only Option

With the Strait of Hormuz effectively closed, the Red Sea threatened by potential Houthi re-escalation, and Fujairah now under attack, the Cape of Good Hope route around Africa remains the only viable alternative for most commercial shipping.

This adds 10–14 days to Asia-Europe voyages and approximately $200–$400 per TEU in additional costs, according to industry estimates.

Oil Prices Hovering Near $100 — Fuel Surcharges Will Follow

Brent crude remained around $102–$105 per barrel on Monday, according to CNBC. Oil prices have surged approximately 40% since the conflict began on February 28.

US Treasury Secretary Scott Bessent said he expects prices to fall "much lower" after the war ends — but provided no timeline.

Elevated fuel costs will inevitably translate into higher freight rates and bunker adjustment factors (BAF) across all trade lanes.

Timeline Uncertainty: Israel Says War Will Last "At Least Three More Weeks"

Israel's military has stated the war will continue for at least three more weeks, with "thousands of targets" still remaining in Iran, according to NPR.

For shippers, this means:

• Middle East port disruptions will persist through at least early April

• Carrier booking suspensions for Gulf destinations are unlikely to lift soon

• Transit time estimates should assume Cape routing for the foreseeable future

Practical Guidance for Vehicle Shippers

If you are planning to ship a vehicle internationally in Q1–Q2 2026, here is what to consider based on today's developments:

For shipments to or from the Middle East:

• Confirm port status before booking — Bahrain ports remain closed, Fujairah is operating at reduced capacity, and Jebel Ali faces ongoing risks

• Prepare for cargo to be discharged at alternative hubs such as Salalah or Jeddah

• Budget for emergency surcharges already implemented by Maersk and other carriers

For Asia-Europe or Asia-US shipments:

• Expect 10–14 day delays due to Cape of Good Hope routing

• Book early to secure space — roughly 10% of the global container fleet remains caught in the disruption

• Confirm carrier routing before departure to understand actual transit times

For all international shipments:

• Monitor fuel surcharges, which will rise as oil prices remain elevated

• Build buffer time into delivery schedules

• Contact your logistics provider for the most current routing and rate information

Disclaimer: This article is provided by West Coast Shipping as general informational content based on publicly available reporting as of March 17, 2026. The situation in the Middle East is developing rapidly and details may change. This is not legal, financial, customs, or tax advice. All shipping routes, carrier policies, port statuses, and cost figures referenced are illustrative and based on publicly available information at the time of writing. Actual conditions, rates, and timelines may differ. West Coast Shipping provides logistics coordination services only; we do not provide customs brokerage, legal, or financial advisory services. Before making any shipping decisions, contact your logistics provider directly for the most current information.

Calculate Your International Car Shipping Costs

Planning to ship a vehicle internationally? Get a personalized estimate based on your origin, destination, and vehicle details using our instant shipping calculator.