The port of Eilat,Israel’s only maritime gateway on the Red Sea, is set to shut down operations this Sunday after the Eilat municipality seized its bank accounts over unpaid municipal taxes, according to Globes, a leading Israeli business journal. Once a key gateway for Israel’s vehicle imports and strategic military operations, the Red Sea port has suffered a dramatic collapse in activity following the war in Gaza and ongoing Houthi threats to regional shipping.

The shutdown, confirmed by a letter from the National Emergency Authority, is expected to halt all services, including tug operations and logistical support for the Israeli Navy and the Europe Asia Pipeline Company (EAPC). Exports of potash from ICL’s Dead Sea Works will also be disrupted.

Only six ships have docked at Eilat this year with port revenues plumetting.

Despite previous state-backed support, including loan guarantees and deferred user fees, the government is now pressing the port’s private operators, the Nakash brothers, to settle their debts. An emergency meeting has been called by the Ministry of Transport in a last-ditch effort to prevent the closure of what remains a critical, if beleaguered, strategic asset.