The impact of war with Iran is spreading far beyond oil markets and shipping lanes, forcing companies, conference organizers and sports federations to cancel deals and major international events across the Middle East.

Australian infrastructure giant Macquarie withdrew from bidding for a stake in Kuwait’s oil pipeline network in a deal valued at some $7 billion, Reuters reports. The project was intended to bring private capital into Kuwait’s energy infrastructure, but the conflict and the closure of the Strait of Hormuz have sharply raised the risk profile for Gulf oil assets.

Macquarie’s withdrawal is one of the first major examples of an international investor walking away from a Gulf transaction because of the war. Kuwait Petroleum Corp., which launched the pipeline sale shortly before Iranian strikes hit Gulf cities, is still seeking bids from other investors, though the conflict has already forced it to declare force majeure and reduce output.

The shock waves are also affecting the region’s conference industry. Organizers of major international gatherings in the Gulf are reassessing schedules as travel disruptions and security concerns mount, with some large events being postponed or shifted while others warn that further delays are possible if the conflict drags on.

Among the events affected is the World Petroleum Congress, one of the energy industry’s most important gatherings, which organizers said will be postponed because of the ongoing Middle East crisis. Arabian Travel Market, a flagship global travel trade show scheduled for May in Dubai,has been pushed back to August at the Dubai World Trade Centre as organizers try to ensure international participation and safety for exhibitors and visitors.

Major sporting events have also been caught in the turmoil. UEFA and CONMEBOL confirmed that the 2026 Finalissima between Spain and Argentina, scheduled for March 27 in Qatar, has been cancelled after organizers concluded that the regional security situation and travel disruptions made the match impossible to stage.

Dr. Sultan Al Jaber, the UAE’s Minister of Industry and Advanced Technology and CEO of ADNOC, meanwhile, said Iran’s actions represent a broader threat to regional stability that goes beyond a conventional military confrontation. “This is not a military exchange. This is an attack on a peaceful nation, a nation that has been working diligently and very hard for diplomacy,” Al Jaber told The Wall Street Journal.

Yousef Al Otaiba, the UAE’s ambassador to the U.S., said the conflict with Iran is testing the resilience of international partnerships as governments coordinate responses to the regional instability. “The international community sent a clear message –  it will not tolerate attacks on our sovereignty,” Al Otaiba said in a statement posted by the UAE Embassy.

The UAE is considering action to ease tax residency rules for expats who left amid the Iran conflict.

Authorities may allow residents to spend longer periods abroad without losing their favorable tax status in an effort to encourage their return, The Financial Times reports.

The policy could be especially significant for Dubai, which has attracted high-net-worth individuals with its zero-tax appeal.

The adjustment reflects the UAE’s effort to protect its status as a global hub for mobile wealth and talent, the FT notes.

War-risk insurance premiums for ships crossing the Strait of Hormuz are still available, but they’ve climbed to record levels after Iran’s attacks on commercial vessels. 

Coverage now costs about 5% of a ship’s value, roughly five times higher than premiums charged earlier in the conflict, Bloomberg reports. For a tanker valued at $100 million, that rate implies an insurance bill of roughly $5 million for a single voyage.

The Strait of Hormuz normally carries about one-fifth of global oil shipments, making insurance coverage essential for tankers and other vessels transporting energy supplies from the Gulf.

The surge in insurance costs adds another financial barrier for shipowners weighing whether to send vessels through the strait that links the Gulf to global markets.

President Donald Trump has said the U.S. will make sure that ships are able to pass through Hormuz without saying exactly how. Details of a $20 billion reinsurance plan to help revive shipping are still unclear. 

Disruptions to Middle East airspace are forcing pharmaceutical companies to reroute cargo flights carrying temperature-sensitive medicines, raising concerns about delays to shipments of treatments, including cancer drugs.

Airlines are diverting aircraft around closed corridors over Iran and parts of the Gulf, adding hours to delivery times and complicating cold-chain logistics, Reuters reports.

Industry executives say longer routes increase the risk of temperature fluctuations that can damage sensitive biologic medicines.

Companies are now shifting shipments through alternative hubs in Europe and Asia while monitoring supply risks if the conflict persists.

Just as Dubai International Airport sought to show that operations were returning to normal, an Iranian drone attack early today sparked a fuel tank fire that sent plumes of smoke billowing against the city skyline and forced renewed flight suspensions.

As the blaze flared for hours before being brought under control, authorities diverted aircraft to other airports in the UAE while road access around the airport was restricted. Emirates,  flydubai and other carriers reported that services were disrupted

The UAE, Saudi Arabia, Qatar and other Gulf states have faced more than ​2,000 missile and ⁠drone attacks since Feb. 28, with targets including key oil infrastructure, as well as office towers, hotels and residential neighborhoods.

Flights in the region are at about half their usual level, though their number has risen since the start of the war.

Drone and missile fire have regularly kept aircraft circling Dubai’s main airport – one of the world’s busiest – damaging Middle East tourism worth about $367 billion a year. Air freight ​rates have surged as much as 70% on some routes.

Meanwhile, economists say Qatar and Kuwait could see GDP contract by about 14% if the Strait of Hormuz remains shut for two months, while Saudi Arabia and the UAE would likely suffer declines of 3-5% Bloomberg reports. 

Gulf oil producers have lost an estimated $15 billion in energy revenues since Iran’s retaliation against U.S. and Israeli air strikes by disrupting shipments through the Strait of Hormuz, The Financial Times reports.

Formula One has canceled the Bahrain Grand Prix and Saudi Arabian Grand Prix scheduled for April because of the Iran conflict.

The decision removes two key Middle East races from the early part of the 2026 season. Officials said concern for the safety of teams, drivers and fans made it impossible to proceed.

Organizers are now assessing whether the races can be rescheduled later in the year if conditions improve.

“Bahrain and Saudi Arabia are incredibly important to the ecosystem of our racing season ​and I look forward to returning to ​both as soon as circumstances allow.” FIA president Mohammed Ben Sulayem said.

Air freight rates are surging as the Middle East conflict disrupts global trade routes, forcing companies to divert shipments from sea to air, and driving up transportation costs across the board.

Rates on some cargo routes have jumped by as much as 70% since the war began as airlines reroute flights around closed airspace, deal with fuel surcharges and navigate war-risk insurance costs, Reuters reports.

The disruption has hit shipments from South Asia to Europe particularly hard, including cargo such as generic medicines that are shifting from ocean freight to more expensive air transport.

The surge in costs is adding pressure across industries from electronics to food and pharmaceuticals, the news agency said.

Cargo capacity has also tightened as airlines reduce payloads and alter routes to avoid conflict zones in the Gulf, while operations at major hubs such as Dubai and Doha have been disrupted. The price for shipping goods from South Asia to Europe has climbed to about $4.37 per kilogram from $2.57 on some routes.

More than 100 container ships have been left stranded near the Strait of Hormuz amid maritime disruptions, forcing companies to scramble for alternative logistics channels. 

Saudi Arabia’s state shipping giant Bahri is booking additional tankers to help move crude exports around disrupted Gulf routes, with vessels heading from as far away as Singapore toward the Red Sea port of Yanbu to load Saudi oil, Bloomberg reports.

Helium prices are surging after the Iran conflict disrupted Qatar’s natural-gas processing, exposing the fragility of a market that supplies industries from semiconductor manufacturing to medical imaging.

Qatar produces roughly one-third of the world’s helium, and the shutdown of some gas facilities and shipping routes has sharply reduced supply.

Spot helium prices have roughly doubled as buyers scramble to secure shipments, Reuters reports.

Qatari Energy Minister Saad al-Kaabi told the Financial Times last week that it would take “weeks to months” for deliveries to return ​to ​normal.