Strait of Hormuz "actually closed," Japanese shipping giants withdraw completely

Investing.com — The Japanese carriers operating in the Middle East have shifted from “high alert” to complete shutdown. On Sunday, Japan’s largest shipping companies announced the official suspension of operations in the Persian Gulf, citing the rapid escalation of military tensions following the death of Iran’s Supreme Leader.

Japan’s largest shipping company, Nippon Yusen Kabushiki Kaisha (TYO: 9101), confirmed that all its vessels are no longer passing through the Strait of Hormuz. Similarly, Kawasaki Kisen Kaisha (TYO: 9107) and Mitsui O.S.K. Lines (OTC: MSLOY) have ordered their fleets to standby in safe waters.

This move comes after a stern warning from the U.S. military, which advised all commercial ships to maintain a 30-nautical-mile buffer from U.S. military assets to avoid potential conflict.

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For Tokyo, the risk has never been higher. Japan relies on Middle Eastern oil for about 90% of its imports, and now Iranian state media describe the Strait of Hormuz as “effectively closed,” cutting off a critical artery for Japan’s energy security.

Aviation and the “Doha Gap”

This disruption also impacts the aviation industry. Japan Airlines (JAL) has begun adjusting flight schedules, canceling six major flights between Haneda and Doha through March 3. Over 1,000 passengers are affected, stranded or rerouted.

The airline sector is the first to see how regional conflicts in the Gulf can ripple through global travel hubs within hours.

For JAL and its competitors, the issues are not just about destinations but also about airspace. Flying around conflict zones significantly increases fuel costs and flight times, adding further pressure to an industry already dealing with volatile energy prices. If the “effectively closed” status in the Gulf persists into next week, we can expect larger-scale flight cancellations across major Asian airlines.

The 90% Dependency Trap

Japan has long tried to diversify its energy sources, but its 90% reliance on Middle Eastern oil remains its biggest economic vulnerability. Cosmo Energy and other refiners claim there are no “immediate” issues, but that only holds if the oil tankers currently in safe waters can reach their destinations.

The real test will come if U.S. warnings expand or if ships’ “standby” orders turn into permanent reroutes around the Cape of Good Hope. Such measures would add weeks to delivery times and send shockwaves through Japan’s fuel supply.

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