Amman: First Vice President of the Amman Chamber of Commerce (ACC), Nabil Khatib, affirmed the "full" reopening of the Strait of Hormuz to all commercial vessels will impact the prices of goods, commodities, and oil.
According to Jordan News Agency, Khatib mentioned that the strait's reopening to shipping will lead to "stabilizing" imported goods prices, as shipping costs will drop and gradually return to normalcy. He highlighted that some of the Kingdom's imports pass through the strait, particularly items related to mining and fertilizer industries. This development is expected to positively affect manufactured products.
Khatib further explained that these changes will contribute to revitalizing transit traffic through Jordanian territory towards Syria, Iraq, and the West Bank. Moreover, he noted that this progress will strengthen the Kingdom's role as a "regional logistics hub," owing to the improved transport and trade environment and reduced risks in the region.
He emphasized that the decision to open the strait represents a "significant" development that will enhance the stability of the global economy by securing freedom of navigation and removing threats that have affected global trade. He remarked that global markets have already begun to witness a key decline in oil prices, driven by a decrease in geopolitical risks and the return of smoother shipping and oil tanker traffic in the Arabian Gulf, facilitating the flow of supplies worldwide.
Khatib also pointed out that the reduction in risks associated with regional tensions will "directly" impact marine insurance premiums, which had risen recently. This decrease would reduce shipping and trade costs and enhance market stability.