KARACHI, May 9, 2025 — Amid escalating geopolitical tensions in South Asia, global shipping companies have begun levying steep surcharges on cargo shipments to and from Pakistan, placing a growing burden on the country’s importers and exporters.
Following the Pahalgam incident, tensions between India and Pakistan have severely disrupted regional shipping routes. As a result, major shipping lines are rerouting cargo through longer and more costly pathways. CMA CGM, one of the world’s leading shipping companies, has formally announced an “Emergency Operational Recovery Surcharge” (EORS), citing deteriorating regional stability.
In a statement, CMA CGM explained, “Due to heightened geopolitical tensions, and in order to maintain service continuity and safety, an immediate operational surcharge will be imposed on all Pakistani import and export shipments starting May 15, 2025.” The surcharge will reportedly reach up to $800 per container for shipments to Europe, the Middle East, the US, Africa, and Asia.
Industry insiders confirm that delays in shipments and a sharp rise in freight costs have become the new norm. The once-crucial shipping route through India’s Mundra Port has effectively been cut off due to rising tensions, forcing vessels to take alternative paths that are more time-consuming and expensive.
Pakistani exporters are now struggling to fulfill international orders on time. “We are missing deadlines, and our foreign clients are increasingly worried,” said one Karachi-based textile exporter. “Shipping has become not only slower but unaffordably expensive.”
Khurram Ijaz of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) stated that the organization is preparing to raise the matter with government authorities. “While we understand the security concerns, these tensions are having a direct economic impact. Shipping lines are understandably cautious, but businesses need immediate relief,” he said.
Javed Bilwani, president of the Karachi Chamber of Commerce and Industry, has called on the federal government to engage with shipping companies and seek a reconsideration of the added surcharges. “We must act diplomatically and economically to stabilize our trade environment,” he urged.
Meanwhile, importers report growing congestion at the Karachi Port, exacerbated by halted transit trade from India to Afghanistan. With cargo now being offloaded in alternative ports like Colombo, the shipping bottleneck is worsening.
As tensions persist, Pakistani trade continues to feel the pressure, with shipping disruptions threatening to undermine supply chains and economic recovery.