Gold traders in Dubai are offering discounts of up to $30 per ounce to the global benchmark in London after regional conflict disrupted air transport and delayed bullion shipments from the Gulf’s main trading hub.

Flight restrictions across parts of the United Arab Emirates have slowed exports of physical gold, leaving several shipments stranded and raising insurance and freight costs. As logistics uncertainty grows, many buyers have postponed new orders rather than pay higher transport costs without clear delivery timelines.

Gold is typically transported in the cargo holds of passenger aircraft. With air traffic reduced due to the conflict involving Iran, Israel and the United States, traders are struggling to move bullion out of Dubai. Some shipments resumed flights earlier in the week, but many remained delayed.

Transporting bullion by road to airports in neighboring countries such as Saudi Arabia or Oman has also been avoided because of security risks and complex border procedures.

Dubai has emerged as a major global bullion hub in recent years. The United Arab Emirates imported about 1,392 tons of gold worth more than $100 billion in 2024, with the emirate serving as a key refining and re-export center for supplies moving to Asian markets. It also acts as a transit point for gold originating from Switzerland, the United Kingdom and several African countries.

The shipping disruptions are also affecting supply flows to India, one of the largest destinations for gold traded through Dubai. However, near-term demand in India remains subdued and domestic inventories are currently sufficient due to heavy imports earlier this year.

Global gold prices have risen nearly 20 percent in 2026 and remain above $5,000 per ounce, although the metal has faced pressure this week as the US dollar strengthened. Refiners are also encountering difficulties sourcing doré, or semi-refined gold bars, while logistics costs for new shipments have surged by roughly 60 to 70 percent since the conflict began.