Zim Confirms Turkey’s Immediate Ban on Shipping Associated with Israel

Zim confirmed the earlier reports that Turkey has begun turning away ships associated with Israel. The company, which is the ninth-largest container carrier, reports it is rerouting ships scheduled to call at Turkish ports and working on a mitigation plan.

In a stock exchange filing on Monday, August 25, Zim writes, “It received a notice from the Turkish Port Authorities through the company’s local agent in Turkey, that as a result of a new regulation adopted in Turkey, vessels that are either owned, managed or operated by an entity related to Israel will not be permitted to berth in Turkish ports.”  The change was said to be effective immediately as of last Friday.

The Globes newspaper in Israel reports that one of the company’s ships was turned away from Istanbul last Friday. It writes that the vessel was forced to proceed to Piraeus, Greece, and that there is no clear solution for the cargo scheduled to be loaded or unloaded in Istanbul.

The new regulation also impacts all vessels that are carrying military cargo destined to Israel, which Zim says it was told would not be permitted to berth in Turkish ports. Also, Turkish-flagged vessels are prohibited from calling at Israeli ports.

Globes reports that while it is an expansion of the trade embargo Turkey imposed 15 months ago, it says shipping companies are still waiting for clear instructions from the Turkish government. It says other major carriers, such as MSC Mediterranean Shipping Company and Maersk, are seeking clear instructions. A ship’s flag is said not to be a guarantee that it will be permitted into a Turkish port.

It is not the first country to bar Israeli shipping, for example, Malaysia took a similar step in December 2023, but it is a minor trading partner with Israel. Turkey and Israel had a large trade flow, and even after the embargo, trade continued between the countries. 

The ban comes as Zim has already been under pressure. Last week, the company reported a 15 percent decline in revenues in the second quarter of 2025 and a 38 percent decline in earnings (EBITDA) for the quarter. Carried container volume was down six percent in the second quarter to 895,000 TEU, but box volume for the six months was up year-over-year to 1.84 million TEU.

Management cited the company’s agility and ability to respond to the challenging market conditions. Based on its outlook, it raised its midpoint guidance for the full year 2025 despite the softness in the quarter. Today, it however, warned that if Turkey’s ban remains unchanged, it is expected to negatively impact financial and operating results.  

Recently, there have been market rumors that management was exploring a possible buyout of Zim with an investment group. Zim went public in January 2021 with a listing on the New York Stock Exchange.