Africa: Middle East War Drives Up Bitumen Costs for African Road Builders
Rising conflict in the Middle East has disrupted bitumen supply chains, causing significant price hikes and project delays for road builders across Africa. Many firms are struggling to absorb these costs as they shift from traditional Gulf suppliers to more expensive and slower European sources.
Why it matters
Infrastructure development in developing nations is highly vulnerable to geopolitical instability, which can inflate public works costs and stall economic growth.
War in the Middle East is pushing up the price of bitumen, the material used to make asphalt and road surfaces - and the effects are being felt across Africa, where few countries produce their own. Higher costs and longer delivery times are forcing firms from Madagascar to Guinea to Cameroon to renegotiate contracts, absorb rising expenses and rethink how they manage supplies.
The report focuses on economic impacts and supply chain logistics without taking a political stance on the conflict itself.
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