Riyadh (TDI): Saudi Arabia has launched a new initiative to move cargo away from its Gulf ports and send it through its Red Sea ports instead, as the US-Israel and Iran war continues to disrupt shipping through Strait of Hormuz.
The Logistics Corridors Initiative, announced by Transport Minister Saleh Al-Jasser, will create dedicated routes to handle containers and goods currently moving through ports in the Kingdom’s Eastern Region and other Gulf states, directing them to Jeddah Islamic Port and other ports on the Red Sea coast.
Following US and Israeli strikes on Iran last month, Tehran moved to restrict traffic through the Strait of Hormuz, a narrow passage through which about 20% the world’s oil supply passes. Shipping costs have risen sharply as companies look for alternate routes to continue operations.
Saudi Arabia’s Red Sea ports offer a practical way out. Jeddah Islamic Port is already one of the largest and busiest ports in the Middle East, well connected to shipping routes that reach Europe, Asia, and East Africa.
Routing Gulf cargo through Jeddah takes the Strait of Hormuz out of the equation entirely. Under the initiative, goods currently handled at Gulf ports will travel overland and by sea to Jeddah and other facilities on the western coast.
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Al-Jasser launched the program alongside senior officials from the customs authority and the Saudi Ports Authority, signaling that this is a coordinated national response.
For Gulf states, the initiative offers something they need right now; a way to keep primarily oil cargoes moving without depending on the strait. For smaller Gulf economies that depend heavily on port activity, this matters considerably.
Iran’s ability to restrict the Strait of Hormuz has long been one of its most powerful weapons, the threat alone has historically been enough to move oil markets and put pressure on its adversaries.
By building a functioning bypass, Saudi Arabia is quietly reducing the leverage that threat carries. The Kingdom has invested heavily in building its logistics infrastructure as part of Vision 2030, the country’s long-term economic reform plan.
Positioning itself as a reliable alternative trade corridor during a regional crisis reinforces that ambition. Al-Jasser said Saudi Arabia is focused on keeping supply chains running, adding that Jeddah Islamic Port is already handling shipments redirected from the east.
