Saudi launches cargo route avoiding Hormuz

Saudi Arabia has opened a new container route on the Red Sea that gives shippers another way to move non-oil cargo without relying on the Strait of Hormuz. The service, called Red Sea Express, was announced by the Saudi Ports Authority, Mawani, on May 19 in cooperation with Folk Maritime and SABIC. It links Jeddah Islamic Port and King Fahd Industrial Port in Yanbu with Ain Sokhna in Egypt and Aqaba in Jordan. Saudi state media said the line is designed to speed cargo handling, cut waiting times and support non-oil exports. ### What exactly did Saudi Arabia launch? Mawani said on May 19 that the new Red Sea Express container service had started at King Fahd Industrial Port in Yanbu. The service was launched with Saudi carrier Folk Maritime and petrochemicals producer SABIC, and Mawani said it would connect Jeddah, Yanbu, Ain Sokhna and Aqaba. The line has capacity of up to 1,100 twenty-foot equivalent units, or TEUs. (spa.gov.sa) Business Insider Africa, citing the Mawani announcement, described the route as part of a broader Saudi effort to strengthen trade links across the Red Sea and support non-oil cargo flows between Africa and the Middle East. Arab News also reported that Mawani said the service would support the kingdom’s economy by increasing non-oil exports, attracting investment and reinforcing Saudi ports’ role in regional trade. (spa.gov.sa) ### How does this avoid Hormuz? The ports on the new service sit on the Red Sea and at its northern approaches, not inside the Gulf. That means container cargo moving on this route does not need to pass through the Strait of Hormuz, the narrow waterway between Iran and Oman that remains a chokepoint for Gulf shipping. Business Insider Africa said the route gives non-oil shipments a corridor that avoids Hormuz. (africa.businessinsider.com) Inchcape Shipping Services said in a May 21 operational update that shipping conditions across the region remain fluid and that ports such as Fujairah and Khor Fakkan have seen a substantial increase in cargo calls because of rerouting. The company said waiting periods for some vessel types had stretched to about three to four weeks or more at those locations. (africa.businessinsider.com) ### Which companies are involved? Saudi state media named Mawani, Folk Maritime and SABIC as the parties behind the launch. Reuters, in a Zawya pickup of its report, said Mawani launched the service to improve cargo handling and logistics efficiency at Yanbu. Folk Maritime has been expanding short-sea services tied to Saudi ports, while SABIC gives the route an anchor customer in industrial and petrochemical supply chains. (iss-shipping.com) The official Saudi announcement did not say how much cargo each partner had committed to move on the line. ### Is this only about Saudi trade? Saudi officials framed the route as part of a wider regional logistics push. (spa.gov.sa) Business Insider Africa said the service fits into a larger Red-to-Med corridor intended to connect Red Sea and Mediterranean trade more efficiently. The report said that broader plan includes a railway under construction. The new service also links Saudi ports directly with Egypt and Jordan, giving exporters and shipping lines another Red Sea option at a time when carriers and freight operators have been adjusting routes around Middle East disruptions. ### What should shippers watch next? (africa.businessinsider.com) Mawani said the next concrete marker is operation of the Red Sea Express through King Fahd Industrial Port in Yanbu, with the service now connecting Jeddah, Yanbu, Ain Sokhna and Aqaba. Shippers will be watching vessel calls, transit times and berth availability at those ports as the line begins regular operations. (spa.gov.sa) (gulfnews.com)