Saudi Arabia Launches Logistics Corridors to Bypass Strait of Hormuz

The Government of Saudi Arabia launched the Logistics Corridors Initiative to redirect shipping and containers from ports in the Arabian Gulf and other Gulf Cooperation Council states to its Red Sea ports, including the Jeddah Islamic Port. The move follows severe disruptions in the Strait of Hormuz, where Iran restricted passage after U.S. and Israeli strikes last month, causing freight rates to soar.

Transport and Logistics Minister Saleh Al Jasser introduced the program to provide a viable bypass connecting Gulf cargo to international markets without traversing the critical oil and gas chokepoint. To support this transition, the Transport General Authority confirmed the readiness of a fleet exceeding 500,000 trucks and 18,500 licensed companies to maintain supply chain continuity across the kingdom and the wider region.

As part of the effort, the government activated alternative logistics corridors and launched a directory of licensed truck freight carriers on the Logisti platform to assist businesses in identifying approved transporters. Red Sea ports are currently capable of handling more than 17 million containers annually to accommodate the diverted volume.