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Maersk to decide on Red Sea route on Tuesday after attack

Renton Campoy by Renton Campoy
August 13, 2024
in Other News
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Maersk to decide on Red Sea route on Tuesday after attack
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Maersk to decide on Red Sea route on Tuesday after attack
© Reuters. FILE PHOTO: Maersk’s logo is seen in stored containers at Zona Franca in Barcelona, Spain, November 3, 2022. REUTERS/Albert Gea/File Photo

 

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OSLO (Reuters) -Denmark’s Maersk will decide on Tuesday whether to resume sending vessels through the Suez Canal via the Red Sea or redirect them around Africa following a weekend attack on one of its ships, a company spokesperson said.

The container shipping giant on Sunday paused all Red Sea sailings for 48 hours following attempts by Yemen-based Houthi militants to board the Maersk Hangzhou. U.S. military helicopters repelled the assault and killed 10 of the attackers.

Maersk had more than 30 container vessels set to sail through Suez via the Red Sea, an advisory on Monday showed, while 17 other voyages were put on hold.

A decision will be taken on Tuesday regarding how to proceed, the company spokesperson said.

The Hangzhou, which was hit by an unknown object during the attack, was able to continue on its way with LSEG shipping data showing the vessel now close to the Suez Canal.

The Iranian-backed Houthis, who control parts of Yemen after years of war, started attacking international shipping in November in support for Palestinian Islamist group Hamas in its war with Israel in the Gaza Strip.

Major shipping groups, including Maersk and Hapag-Lloyd, last month stopped using Red Sea routes, instead taking the longer journey around southern Africa via the Cape of Good Hope.

After the deployment of a U.S.-led military operation to protect ships, however, Maersk on Dec. 24 announced it would resume using the Red Sea.

Rival Hapag-Lloyd on Friday said it would continue to avoid the Red Sea but like Maersk would make update its plans on Tuesday.

According to Maersk, its alliance partner Mediterranean Shipping Company (MSC) was continuing to divert its vessels via the Cape of Good Hope.

MSC did not immediately respond to a request for comment.

The Suez Canal is used by roughly one-third of global container ship cargo.

Re-directing ships around the southern tip of Africa is expected to cost up to $1 million in extra in fuel for every round trip between Asia and Northern Europe.

Source: Investing.com

Renton Campoy

Renton Campoy

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