French shipping giant CMA CGM is considering scrapping its container vessel CMA CGM San Antonio after it sustained severe damage in a missile strike in the Strait of Hormuz during the Iran conflict in early May.
Speaking at a business conference in southern France, CMA CGM Chairman and CEO Rodolphe Saadé said the extent of the damage has raised doubts about whether the vessel can be economically repaired.
“It was so damaged that we’re wondering whether we should send it for scrapping,” Saadé said.
The missile attack injured several crew members, who were subsequently evacuated. The San Antonio was among dozens of commercial vessels hit during the regional conflict that severely disrupted maritime traffic through the strategically vital waterway.
After remaining stranded in the Strait of Hormuz for several weeks, the vessel has now been safely escorted out of the area, although the company did not disclose its current location.
Saadé said CMA CGM has no immediate plans to resume sending vessels into the Gulf, noting that Iranian authorities are currently advising against such transits. He also reiterated the company’s opposition to any proposal for transit fees on ships using the Strait of Hormuz, an issue reportedly under discussion in ongoing U.S.-Iran negotiations.
At the outbreak of the conflict, 14 CMA CGM vessels were operating inside the Gulf. Several have since exited the region, while the company is working to bring four more ships out. Some vessels, however, are expected to continue operating within the Gulf to serve regional trade.
The developments highlight the continued security and operational challenges facing global shipping lines in one of the world’s most critical maritime trade corridors.
