Vietnam Seafood Exports Face Uncertainty as Middle East Tensions Disrupt Supply Routes

Vietnam
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Rising tensions in the Middle East at the end of February and early March have affected global shipping routes, raising concerns for Vietnam's seafood exporters who rely on the region as a growing market.

The escalation has already pushed up maritime insurance costs and disrupted transport networks in a region that serves as a key hub for global trade.

For the seafood industry, the risks go beyond higher freight charges. Experts warned that disruptions could lead to delays in deliveries, cold chain challenges and potential price volatility.

Seafood products are particularly sensitive to transport disruptions because they require strict temperature control and timely delivery. Even shipments that do not travel directly through conflict zones could face higher costs if vessels in their supply chain call at ports classified as war-risk areas.

The Middle East has become an increasingly important destination for Vietnamese seafood. According to the Vietnam Association of Seafood Exporters and Producers (VASEP), Vietnam exported $401 million worth of seafood to the region in 2025, a 9.6% increase compared with the previous year.

The growth was largely driven by basa fish exports, which generated $175.9 million, up 18.6%. Shrimp exports reached $54.5 million, marking a 19.9% rise, while other fish products recorded a 28.6% increase.

However, the recent conflict could disrupt these trade flows. VASEP warned that restrictions on airspace and changes to flight schedules could affect shipments of fresh seafood transported by air. Supplies may tighten quickly if flights are cancelled or delayed.

Importers may shift towards frozen seafood as an alternative, but this route is also facing pressure as bookings for refrigerated containers are being limited in some cases.

Dubai plays a crucial role in the region's seafood trade as it hosts Jebel Ali Port, the largest gateway port in the Middle East and a major transshipment hub. As ships reroute to avoid high-risk areas, transit times are expected to increase and congestion at ports could worsen.

According to VASEP deputy secretary general Le Hang, the conflict could push up seafood prices in the Middle East as transport and insurance costs rise. Fresh and chilled seafood may face the greatest pressure, particularly in high-end restaurant and hotel segments.

In the short term, supply chains could recover if tensions ease and shipping routes reopen. However, if the conflict continues, exporters may need to redirect shipments, renegotiate contracts or adjust logistics strategies to manage higher transport costs.

Hang said that the situation highlights how quickly geopolitical tensions can disrupt global food supply chains, urging seafood companies to diversify transport routes, build up cold storage inventories and closely monitor shipping and insurance developments.

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