Chinese shipping firms brace for prolonged Iran war disruptions

Chinese shipping giants are signing long-term contracts and restructuring networks to hedge against prolonged disruptions to global trade routes caused by the Iran war. The closure of the Strait of Hormuz has shifted from a transit delay problem to a hard volume shock. Cosco Shipping Holdings, which currently bypasses the chokepoint using longer routes requiring multiple vessels or transport modes, is not considering resuming passage through the Strait. General manager Tao Weidong downplayed the financial impact, noting Middle East routes account for a small portion of revenue, but said the company remains on high alert.