Container shipping costs to Middle East rise for 3rd straight month in May amid lingering tensions

Container shipping costs from Korea to the Middle East extended their gains to the third consecutive month in May, the customs agency said Monday, amid tensions involving Iran.

The average shipping charge for a 40-foot container from Korea to the Middle East rose 4.9 percent from a month earlier to 6.81 million won ($4,520) in May, according to data from the Korea Customs Service.

It marked the third consecutive monthly increase since the figure stood at 3.72 million won in February.

U.S. President Donald Trump, meanwhile, said Sunday that a peace deal with Iran is now "complete," announcing his authorization of the "toll-free" opening of the crucial Strait of Hormuz and the "immediate" removal of a U.S. naval blockade of Iranian ports.

The average shipping charge for containers bound for the U.S. west coast rose 10.1 percent from a month earlier to 5.43 million won, while that for the east coast increased 9.9 percent to 5.63 million won.

Shipping costs to the European Union gained 1.3 percent to 3.71 million won.

The figures include freight rates, commissions and other charges reported by local exporters, according to the agency.

Yonhap