Israel Finance Ministry blocks ZIM sale to Hapag-Lloyd over security concerns

In a formal response, Israel’s Finance Ministry opposed the planned sale and merger of the Israeli carrier ZIM with German group Hapag-Lloyd and FIMI Opportunity Funds, stating that the economic, operational and security risks surpass any advantages. Director General Israel Malachi, coordinating with the Accountant General’s Office, Budget Department, Chief Economist’s Office and Legal Bureau, highlighted concerns about complete dependence on a competing firm and the presence of shareholders from Qatar and Saudi Arabia.

The ministry argued the deal could threaten the continuity of maritime supply lines, including routes to the Far East, and rests on unrealistic assumptions and an aging fleet. It noted that the state’s golden share, held since ZIM’s privatization, gives the government veto power over such transactions. Future approval would require a revised structure that limits exposure to hostile parties and ensures independent, long-term maritime operations. The $3.7 billion transaction, announced after a six-month tender, would have delisted ZIM from the New York Stock Exchange and transferred global operations to Hapag-Lloyd.