MIDEAST UPDATE

* The Japan Seaman’s Union voted to allow Japan-flagged vessels to call at ports in Qatar, reversing its earlier decision to bar its members from moving into the western half of the Persian Gulf. * Iberia SA, Spain’s national carrier, said it would reduce flights between New York and Madrid because fears of terrorist attacks had lowered passenger demand. Earlier this week, the airline reduced flights to seven European cities and to five cities in Spain. * The German economics minister put exporters on notice that violators of the United Nations trade embargo against Iraq risked prison terms of up to 10 years. German firms are believed to have played a major role in developing Iraq’s chemical and biological weapons arsenal. * International shipping lines in Asia are shunning the Suez Canal route to Europe, instead diverting around South Africa--a route that adds 14 days to a round trip but circumvents the danger of missiles and mines in the Persian Gulf. * The three largest Japanese auto makers are offering more generous special benefits to American workers called up for military service than the Big Three U.S. auto makers. But nine times as many reservists employed by the U.S. companies have been activated.