Trade disruptions from Iran conflict inevitable, warns Johari

 The investment, trade and industry minister says disruptions to logistics are already being seen.

Investment, trade and industry minister Johari Ghani said the possible effects on foreign investment are being studied.

PETALING JAYA:

 The US-Israeli attacks on Iran have already affected trade supply routes, and further disruptions are inevitable, says investment, trade and industry minister Johari Ghani.

“Ships are unable to enter certain areas. Yesterday, several aircraft had to turn back and others were unable to depart,” the New Straits Times quoted him as saying in Kuala Lumpur today.

Johari said prolonged conflict could weigh further on economic activity. He said his ministry is also evaluating the possible implications on foreign investment.

Iran’s Revolutionary Guards are reported to have sent transmissions saying “no ship is allowed to pass the Strait of Hormuz”, which is the world’s most vital oil export route connecting the biggest Gulf oil producers, such as Saudi Arabia, Iran, Iraq and the United Arab Emirates, with the Gulf of Oman and the Arabian Sea.

The attacks on Iran by the US and Israel have resulted in retaliatory strikes by Iran on US bases in the region. - FMT