South Korean SMEs Report 422 Disruptions Amid Escalating Middle East War: Logistics Crisis Hits Exports Hard

South Korea's Ministry of SMEs and Startups has received 422 cases of damage and difficulties from small and medium-sized enterprises linked to the ongoing Middle East war.

Of these reports, 284 represent actual damages or operational challenges, while 79 express concerns over potential future issues.

Deepening Logistics Disruptions Grip Korean Exporters

The primary issue plaguing SMEs is transportation delays, stemming from paralyzed ports and disrupted shipping routes in the Persian Gulf region.

Exporters targeting markets like Iran, Israel, UAE, and Saudi Arabia have been hit hardest, with supply chains facing severe bottlenecks.

Historical Surge in Reported Cases Signals Growing Impact

Since late February, reports have surged weekly, climbing from 232 to 379 and now 422 cases as the conflict prolongs.

This escalation reflects broader economic vulnerabilities in South Korea's export-dependent SME sector amid geopolitical tensions.

Government Steps Up Support for Affected Businesses

The ministry has established online portals and regional centers to collect complaints and provide rapid assistance.

Emergency economic teams have been launched at the presidential level to mitigate shocks and protect livelihoods.

Looking ahead, experts anticipate prolonged disruptions unless diplomatic resolutions emerge, urging SMEs to diversify supply chains.

Strengthening alternative routes and domestic stockpiles could shield Korea's economy from further Middle East fallout.