Global shipping giant Maersk says it is preparing to resume using the Red Sea and Suez Canal route as soon as security conditions permit, CEO Vincent Clerc announced on Tuesday. The move comes after nearly a year of diversions around Africa due to Houthi attacks on commercial vessels.
The Suez Canal Authority said Maersk ships are expected to begin partial transits in early December, though the company has not confirmed a specific date. Maersk shifted vessels away from the Red Sea in January 2024 after one of its ships was targeted by Yemen’s Houthi militants amid regional tensions linked to the Gaza war.
Clerc said recent progress in the Gaza peace process and improved stability near the Bab al-Mandab strait were encouraging signs for restoring safe navigation along the East-West corridor. “The safety of our crew remains our top priority,” he added.
The Suez Canal Authority and Maersk also signed a strategic partnership agreement aimed at strengthening cooperation as traffic gradually returns. Despite recent improvements, Egypt estimates that the disruptions cost the canal about $7 billion in 2024, after more than 100 Houthi attacks across the Red Sea region forced shipping companies to reroute.
Maersk’s return could have significant implications for global trade, potentially easing freight rates that have climbed during the prolonged Red Sea crisis.
Source: Reuters
The Suez Canal Authority said Maersk ships are expected to begin partial transits in early December, though the company has not confirmed a specific date. Maersk shifted vessels away from the Red Sea in January 2024 after one of its ships was targeted by Yemen’s Houthi militants amid regional tensions linked to the Gaza war.
Clerc said recent progress in the Gaza peace process and improved stability near the Bab al-Mandab strait were encouraging signs for restoring safe navigation along the East-West corridor. “The safety of our crew remains our top priority,” he added.
The Suez Canal Authority and Maersk also signed a strategic partnership agreement aimed at strengthening cooperation as traffic gradually returns. Despite recent improvements, Egypt estimates that the disruptions cost the canal about $7 billion in 2024, after more than 100 Houthi attacks across the Red Sea region forced shipping companies to reroute.
Maersk’s return could have significant implications for global trade, potentially easing freight rates that have climbed during the prolonged Red Sea crisis.
Source: Reuters