Berlin, Aug. 13 (SANA)German container shipping groupHapag-Lloydsaid Thursday that theMiddle East conflictand closure of theStrait of Hormuzcost it about $600 million in the second quarter, adding to expenses and weighing on earnings.

The Hamburg-based company reported net profit of $83 million, down from $306 million a year earlier, although strong exports from Asia and improved U.S. demand helped offset some of the impact from the Middle East crisis.

“The second quarter was better than the first, driven by a significant increase in spot freight rates and strong demand,” Chief Executive Rolf Habben Jansen said.

Operating profit before interest and taxes in the company’s liner shipping business fell to $153 million from $167 million a year earlier.

Hapag-Lloyd attributed the decline in part to additional fuel, insurance, storage, vessel rerouting and inland transportation costs following the closure of the Strait of Hormuz.

The disruption to one of the world’s most importantshippingroutes has forced carriers to adjust operations and increased costs as the Middle East conflict continues to affect global trade.

“In the second half of 2026, we will continue to focus on growing our liner shipping and terminal businesses while maintaining strict cost discipline,” Habben Jansen said.

Hapag-Lloyd said its outlook, which it raised in July, remained subject to considerable uncertainty because of sharp fluctuations in freight rates.