Pakistan shields trade from Iran-US tensions, targets transshipment boost

Pakistan is moving to shield its trade and economic flows from potential disruption amid rising tensions between Iran and the United States, while seeking to capitalize on shifting regional logistics routes, Commerce Minister Jam Kamal Khan said.

Speaking to Nukta, Khan said a prolonged conflict could push up global insurance premiums, shipping costs and cargo terminal charges, affecting international trade flows.

He said Pakistan’s geographic position, slightly outside the Strait of Hormuz, may help cushion it from the most immediate effects compared with countries closer to the strategic oil chokepoint, through which a significant share of global energy supplies passes.

“We are working to ensure that Pakistan remains protected from the fallout, while facilitating our trade partners and investors,” Khan said. He added that the government is focused on preventing export disruptions and providing relief to businesses.

Khan said Pakistan has accelerated efforts to expand transshipment services as regional tensions escalated. He said the country is positioning its ports, including Gwadar, as alternative hubs for shipping companies unable to transit the Strait of Hormuz.

Authorities are also engaging with ports in Oman, including Sohar and Fujairah, as well as other regional partners to strengthen logistical coordination, he said.

In the aviation sector, Khan said Pakistan is in contact with airlines in Kuwait and Saudi Arabia to enhance bilateral services.

He said the country’s leadership, including Prime Minister Shehbaz Sharif and Army Chief Field Marshal Syed Asim Munir, has played a “responsible role” over the past two years, helping improve Pakistan’s standing as a stable partner in a volatile region.

“Pakistan is being looked at for its constructive role in managing these challenges,” Khan said, adding that the country aims to expand its share in regional trade while ensuring stability in uncertain times.