Shipping must remain under global rules despite Strait of Hormuz crisis, industry leaders warn

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The International Maritime Organization is working to evacuate hundreds of ships stuck in the Persian Gulf since the Middle East conflict broke out, said its secretary-general.

Ships and boats in the Strait of Hormuz off the coast of Musandam, Oman, on Apr 20, 2026. (Photo: Reuters)

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22 Apr 2026 06:33PM

SINGAPORE: With the global shipping industry facing its most severe stress test since the COVID-19 pandemic, industry leaders warned that the crisis in the Strait of Hormuz has exposed deeper vulnerabilities in the rules-based system that underpins international shipping.

At stake is not just the safety of vessels and crew, but the stability of global trade itself, they told CNA at the Singapore Maritime Week.

The annual event brings together global maritime leaders to discuss issues in the sector. It is organised by the Maritime and Port Authority of Singapore and is being held at the Suntec Singapore Convention and Exhibition Centre until Friday (Apr 24). 

Since the United States and Israel launched strikes against Iran on Feb 28, the Strait of Hormuz – a key waterway between the Persian Gulf and the Gulf of Oman, which handles about 20 per cent of global oil trade – has been in a state of flux.

Tehran largely closed the strategic strait to ships other than its own for nearly two months, causing oil and gas prices around the world to soar.

Around 20,000 seafarers and 1,500 ships have been stranded after shipping was disrupted in the region, according to the International Maritime Organization (IMO).

After ceasefire talks with Iran earlier this month ended without an agreement, the US enforced its own blockade of Iranian vessels. 

US President Donald Trump on Tuesday (Apr 21) extended the ceasefire indefinitely but said the blockade would be maintained.

RULES-BASED SYSTEM UNDER STRAIN

For shipowners, the most pressing concern is the gradual erosion of the international framework that governs shipping, said Thomas Kazakos, secretary-general of the International Chamber of Shipping, which represents more than 80 per cent of the world’s merchant fleet.

“You get issues such as the unstable situation in the Persian Gulf,” he pointed out.

“The most important thing right now is to make sure that shipping remains an international facilitator of trade, because 80 per cent of the world trade is carried by sea, and therefore should always remain under international standards and global rules, open trade and principles of fair operation.”

The concern is shared at the regulatory level, said IMO’s secretary-general Arsenio Dominguez.

The specialised agency under the United Nations does not police the seas but sets global shipping rules and depends on member countries to uphold them.

Navigation in the Strait of Hormuz has been regulated by IMO since 1968 “in a very secure manner”, Dominguez noted.

“The first ones that have to step up for action are the countries that started the conflict, because maritime trade was operating without any incidents before that … our rules are very clear,” he added.

“The only thing that we need is the guarantees that there will be no attacks on ships, on innocent seafarers, and immediately (we) will reapply the international law that is relevant for straits, for international navigation.”

SEAFARERS IN TROUBLE

While trade disruption is dominating headlines, Kazakos and Dominguez stressed that the immediate priority is human, with thousands of seafarers still trapped in a volatile region.

Both the ICS and IMO are urging caution, even if that means halting transit through one of the world’s busiest waterways.

“Ships, at the moment – we do not feel that it is secure for them to go through because we have not received absolute confirmation that it is absolutely safe to do so,” Kazakos said.

The IMO has gone further, advising operators to avoid the Strait of Hormuz altogether until firm guarantees are in place, said Dominguez.

Both organisations are working on contingency plans, from ensuring supplies for stranded crews to preparing evacuation frameworks once tensions ease.

“We’re actually preparing to have a framework to evacuate the seafarers as long as it’s safe to do so. (We are) working with other governments, the international community, in guaranteeing the freedom of navigation once the ceasefire is a permanent one,” Dominguez added.

The IMO Council – its executive organ – discussed the framework about three weeks ago at an urgent session.

CONFLICTING INFORMATION, RISING COSTS

Compounding the crisis is a flood of conflicting information about conditions in the Gulf, creating additional risks for operators making real-time decisions.

To counter this, the ICS has been coordinating closely with shipping companies, governments and other organisations to verify developments, said Kazakos.

The IMO has adopted a similarly cautious approach, emphasising verification before action.

Recent confusion over whether the Strait of Hormuz had fully reopened highlights the dangers of acting on incomplete data, warned Dominguez.

“The moment that I started to verify the information, it was clear to me that it was not in accordance with the rules of IMO … which meant that there was still an opportunity to get more clarity before we can actually advise everyone operating there that it was safe to transit,” he noted.

Last Friday, Iran’s foreign minister announced that the Strait had been temporarily reopened.

More than a dozen tankers passed through before Tehran – in response to the US’ refusal to lift its naval blockade – said on Saturday that it was closed again, firing shots on vessels.

Ships and tankers in the Strait of Hormuz off the coast of Musandam, Oman, April 18, 2026. (Photo: REUTERS)

With security uncertain, many vessels have been forced to reroute, often taking longer journeys around the Cape of Good Hope instead of using shorter routes through the Middle East and Suez Canal.

These diversions come at a cost, including high fuel consumption and ultimately higher prices for consumers, Kazakos said.

“Shipping is a resilient industry that has been for centuries and will always be. We’re always going to find ways to improvise, adapt, overcome,” he added.

“However, we will very much like to see the opening of all the waterways … because that is the main preferred route, in order to maximise efficiency for the service we provide, and at the same time to be reliable to the customers we serve.”

As geopolitical tensions reshape the operating environment, shipping leaders are calling for clearer and more consistent support from governments.

“We need to have adherence to international law. We need to have freedom of navigation … and a trust and reliable regulatory framework. Because without that … we will not be able to provide the services.” Kazakos said.

“Shipping is the lifeblood of world trade, and therefore we need to have stability, security and predictability.”

BALANCING CRISIS WITH LONG-TERM CHANGE

Even as the industry grapples with immediate security threats, it is also under pressure to transform, particularly in reducing emissions and adopting new technologies.

IMO’s Dominguez said its decarbonisation efforts remain on track, despite the recent setbacks. Its targets include net-zero greenhouse gas emissions from international shipping around 2050.

At the same time, the crisis may accelerate change by forcing the industry to diversify energy sources and adopt new solutions, he said.

“Shipping needs to modernise. Shipping needs to change in order to face its challenges,” Dominguez noted.

“With the energy shortage we are experiencing right now, it allows us to also look into the opportunities for the decarbonisation of shipping, the new technologies, the new alternative fuels that will be there.”

For regulators, the immediate test is proving that international cooperation still works in times of crisis.

“We all want this to come to a very positive solution as soon as possible, but we cannot risk the lives of the seafarers and the ships more than they already have been,” Dominguez said.

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