Dear Customers,
We hope that you and your families are keeping well during these complex times. In recent weeks, we have been witnessing significant changes in the shipping market to Israel, primarily driven by the security situation in the region and its impact on international trade activities. Shipping lines continue to operate services to Israel and maintain operational continuity; however, they are also implementing adjustments to freight rates and related surcharges.
The Shipping Market to Israel – Current Overview
In recent months, an upward trend has been recorded in ocean freight rates to Israel. This increase is mainly driven by higher war risk insurance premiums, a rise in the perceived risk levels along shipping routes in the Middle East and the Red Sea, and various operational adjustments made by shipping lines in order to continue providing regular services to Israel.
As part of these adjustments, some carriers are modifying sailing routes, adding safety measures, and implementing different operational changes, all of which increase operating costs. As a result, several trade lanes have experienced increases of approximately 10%–25% in base freight rates.
New Surcharges Introduced to the Market
As part of these adjustments, several key surcharges have recently been introduced:
War Risk Premium (WRP) – A war risk insurance surcharge applied to containers destined for Israel, reflecting the rise in insurance premiums imposed on shipping lines.
Emergency / Conflict Surcharge – An emergency surcharge applied on certain services to address the increased operational and fuel costs during the current period.
These surcharges may reach hundreds of dollars per container, depending on the shipping line, the service route, and the type of cargo.
Shipping Line Operations to Israel
Most of the major shipping lines continue to operate services to Israel, with certain adjustments:
MSC continues to provide regular services to Israel, alongside updates to emergency surcharges and operational adjustments on several routes.
ZIM continues operating its services to Israel while updating War Risk surcharges and, in some cases, applying restrictions on specific cargo types, particularly hazardous cargo.
Hapag-Lloyd has also announced the addition of a War Risk Surcharge on services calling Israel.
The Ports of Haifa and Ashdod continue to operate and serve cargo movements, subject to security guidelines and the necessary operational adjustments.
Impact on the Market
The combination of rising freight rates, war and operational surcharges, and higher insurance costs has created significant volatility in the market. In addition, some routes are experiencing slightly longer transit times, congestion at alternative ports, and temporary restrictions on certain cargo types.
Despite these challenges, shipping activities to Israel continue, and the global logistics system is adapting to the evolving reality.
We Are Here for You
At Fridenson Group, we continue to closely monitor developments in the shipping market and work with shipping lines and agents worldwide to help you find creative, competitive, and stable transportation solutions, even during challenging times.
Our extensive experience, combined with a broad international network, enables us to maintain supply chain continuity and support your ongoing business operations.
We will continue to keep you updated on further developments.
