KUALA LUMPUR, June 26 – The possible closure of the Strait of Hormuz after the recent Iran parliamentary vote poses limited risk to Malaysia, said MIDF Amanah Investment Bank Bhd.
In a note today, the investment bank said Malaysia’s main Asia-Europe trade corridor, which contributes less than 15 per cent to the total volume at Westports, Port Klang, bypasses Hormuz entirely.
“Short-term port congestion and berth delays may still occur if rescheduled calls and feeder realignments spill into the region in the second half of 2025.
“While Red Sea shipping routes have largely normalised, heightened tensions in the Strait of Hormuz present a fresh risk to regional container flows, following a recent Iranian parliamentary vote to close the Strait in retaliation for United States strikes on multiple nuclear facilities inside Iran,” it said.
MIDF Amanah said that the closure would block access to major Gulf ports, such as Jebel Ali and Dammam, forcing shipping lines to either suspend Gulf calls or reroute cargo through alternative hubs with limited capacity.
“This may cause temporary vessel bunching and higher yard utilisation at regional transhipment hubs as shipping lines adjust loops, reposition empty containers, and manage scheduling disruptions,” it said.
However, MIDF Amanah said the outlook for the second half of 2025 remains fluid, as the tariff reprieve is short-term and downside risks persist, including weak European demand, vessel overcapacity, and geopolitical disruptions that could dampen momentum.
The bank maintained its “neutral” call for the port and logistics sector.
