Kenyan businesses are set to incur higher shipping costs after companies introduced emergency fuel surcharges following the U.S.-Israel conflict with Iran, which has been ongoing for more than a week.
In their respective statements, Compagnie Maritime d’Affrètement – Compagnie Générale Maritime (CMA CGM) and Mediterranean Shipping Company (MSC) have introduced additional charges for cargo moving to and from East Africa to cover rising fuel costs.
“MSC Mediterranean Shipping Company will apply an Emergency Fuel Surcharge (EFS) to all cargo from Northern Europe (including the UK and Scanbaltic) to the Red Sea and East Africa. As from 16 March 2026 (BL date) until further notice,” the MSC statement read.
Further, the CMA CGM company, in its advisory, explained that the move follows the reopening of global fuel markets on March 2, 2026, which increased the prices.
“As a result, bunker costs have significantly increased across all regions and trades, impacting the overall cost of ocean transportation,” the company stated.
MSC Emergency Fuel Surcharge (EFS) – East Africa Cargo
The MSC company has introduced an Emergency Fuel Surcharge (EFS) for cargo moving from East Africa and the Red Sea to key international destinations, including Northern Europe, the United Kingdom, Scanbaltic, the West Mediterranean, and the Adriatic.
This surcharge applies to both dry cargo and refrigerated cargo, with rates varying depending on the route.
Also Read: Kenya Outpaces Regional Rivals as Transit Cargo Through Ports Surges in 2025
The Emergency Fuel Surcharge (EFS) came into effect on 16 March 2026 and will remain in place until further notice.
| Route | Dry Cargo (USD / KSh) | Reefer Cargo (USD / KSh) |
| East Africa → Northern Europe (incl. UK) | $70 / 9,037 | $100 / 12,910 |
| East Africa → Scanbaltic | $80 / 10,328 | $120 / 15,492 |
| East Africa → West Mediterranean & Adriatic | $60 / 7,746 | $80 / 10,328 |
| East Africa → Red Sea | $40 / 5,164 | $50 / 6,455 |
| Red Sea → East Africa | $40 / 5,164 | $50 / 6,455 |
CMA CGM Surcharges
In implementing the change, the company adjusted its prices upward, citing the continued provision of reliable and sustainable services.
“To continue providing reliable and sustainable services in this exceptional context, CMA CGM will implement an Emergency Fuel Surcharge (EFS) as follows,” it noted.
Also Read: Kenya Addresses Looming Fuel Shortage and Price Hike Amid Middle East Crisis
The EFS will be effective as from 23 March 2026 (Loading date), or subject to regulatory filings where applicable, and will remain in place until further notice.
| Scope | Direction | Dry Cargo (USD / KSh) | Reefer Cargo (USD / KSh) | Dry Cargo (EUR / KSh) | Reefer Cargo (EUR / KSh) |
| All Long Hauls | Head Hauls | $150 / 19,365 | $180 / 23,238 | €130 / 19,381 | €155 / 23,103 |
| All Long Hauls | Back Hauls | $75 / 9,683 | $90 / 11,619 | €65 / 9,690 | €80 / 11,927 |
| All Intra-regional | — | $75 / 9,683 | $90 / 11,619 | €65 / 9,690 | €80 / 11,927 |
How the Middle East War Forced Shipping Companies to Introduce Emergency Fuel Surcharges
The ongoing U.S.-Israel conflict with Iran, which escalated dramatically in late February 2026 with strikes on Iranian targets and retaliatory attacks, has disrupted key maritime routes in the Middle East.
This has directly impacted global shipping, particularly through the Strait of Hormuz, a narrow waterway between Iran and Oman that handles about one-fifth of the world’s oil supply and significant liquefied natural gas (LNG) shipments.
According to Reuters reports, Iranian forces have targeted vessels in the area, leading to a near-complete halt in traffic through the strait and prompting precautionary shutdowns at oil and gas facilities across the region.
Additionally, instability has spilled over into the Red Sea and the Suez Canal, areas already vulnerable to prior Houthi-related disruptions.
As a result, major shipping companies have been forced to reroute vessels away from these high-risk zones.
Instead of using the shorter paths through the Strait of Hormuz or the Suez Canal, ships are now diverting around Africa’s Cape of Good Hope.
This detour adds significant distance, often 10-14 days or more, to transit times between Asia, Europe, and the Middle East, leading to higher operational costs.
As of March 9, 2026, Brent crude oil, the global benchmark, has surged to approximately $102-103 per barrel, marking a 10-11% daily increase and a roughly 48-50% rise over the past month.
Similarly, West Texas Intermediate (WTI) crude, the U.S. benchmark, stands at around $98-102 per barrel, up 8-13% daily and 54-61% monthly.
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