Sunday, April 5, 2026

PPA assures operational readiness, says PH shipments through Strait of Hormuz are largely energy related

The Philippine Ports Authority (PPA) confirmed that the country do have shipments, largely energy related, that pass through the Strait of Hormuz, which had been closed following the escalation of hostilities between U.S.-Israel against Iran, even as it assured the public of the port’s operational readiness amid the crisis in the Middle East.

“We do have shipments that pass through the Strait of Hormuz, particularly those originating from Saudi Arabia, the UAE, Qatar, Kuwait, and Iraq,” said PPA General Manager Jay Santiago.

He added that exposure is primarily crude oil, refined petroleum products, and LNG. There are also some petrochemicals and fertilizer imports, as well as limited containerized cargo from Gulf transshipment hubs such as Jebel Ali, but the bulk of the strategic exposure is energy-related.

Santiago issued this statement as  the Philippines navigates the potential impact of disruptions in the recently closed Strait of Hormuz amid escalating geopolitical tensions in the Middle East, concerns over global shipping routes have intensified.

Likewise, the PPA assured the public that the country’s premier maritime gateways remain fully operational across all major terminals nationwide.

In the statement, the PPA emphasized that there are no direct operational or routing disruptions affecting Philippine ports at this time, even as developments abroad continue to influence certain international shipping passageways.

He added that the PPA continues to coordinate with shipping lines, port operators, and relevant government agencies to closely monitor global developments and ensure the uninterrupted flow of trade.

At present, these developments have not resulted in operational disruptions within the domestic port system. However, the PPA GM noted that traders may expect possible increases in freight service costs should tensions further escalate.

PPA General Manager Jay Santiago. (Photo credit from Philippine Ports Authority Official Website)

“There is no direct operational routing issue affecting our ports. However, any disruption in global shipping routes could affect freight rates, bunker costs, and eventually cargo volumes,” GM Santiago added.

The Authority also underscored the strength of the domestic port system, supported by sustained cargo growth. In 2025, cargo throughput rose by six percent to 307.64 million metric tons, driven by increased demand for construction materials and petroleum products. The growth reflects continued infrastructure activity and stable demand across key sectors of the economy.

The Authority reiterated its commitment to closely coordinate with shipping lines, port operators, and relevant government agencies to monitor global developments and ensure the uninterrupted movement of trade through Philippine ports.

 

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