IMEC During a Time of War

Why It Matters

IMAC’s redundancy could shield global trade from future maritime crises, while reshaping US‑Gulf strategic ties and accelerating regional energy‑digital integration.

Key Takeaways

• Shipping through Hormuz halted, spiking oil, fertilizer, aluminum prices.
• IMAC offers a decentralized “Plan B” trade and energy corridor.
• Key missing link: Jordan rail line essential for corridor efficiency.
• Gulf states must jointly fund infrastructure amid post‑war budget shifts.
• US strategic view must evolve to a trans‑regional West Asia framework.

Summary

The Atlantic Council panel examined the India‑Middle East‑Europe Economic Corridor (IMAC) amid the Iran‑Israel war that has shut the Strait of Hormuz, driving up prices for oil, fertilizer and aluminum. Speakers highlighted how the conflict underscores the need for strategic redundancy in global trade routes, a lesson learned from the pandemic, the Ever Given blockage, and recent Red Sea attacks.

Panelists outlined IMAC’s decentralized “Plan B” approach, linking rail, maritime, energy and digital networks across India, the Gulf and Europe. Critical projects include the Saudi‑Jordan railway, a missing Jordanian freight line, port expansions in Israel and Europe, and a $3 billion HI‑trail in Oman. Funding gaps and regulatory harmonisation remain challenges, especially as Gulf economies re‑allocate resources toward post‑war defence and diversification.

Afak Hussein called IMAC a “Plan B” that has already been tested by the Hormuz shutdown, while John Zvakanus stressed Gulf unity and Saudi Arabia’s pivotal role in financing rail and renewable‑energy links. Muhammad Solomon argued the United States must reconceptualise the region as a trans‑continental “West Asia” hub rather than a traditional Middle East.

If the missing rail links and port upgrades are realised, IMAC could provide the redundancy needed to keep global supply chains flowing during geopolitical shocks, while also opening new markets for renewable energy and digital infrastructure. The corridor’s success will hinge on coordinated Gulf investment, regulatory alignment, and a revised US strategic outlook toward the broader West Asia region.

Original Description

The Atlantic Council’s Project on Middle East Integration examines the threat the Iran war poses to Middle East infrastructure.