© Reuters. FILE PHOTO: Containers are seen stacked up on the container ship CMA CGM Benjamin Franklin at the port of Antwerp, Belgium September 23, 2022. REUTERS/Yves Herman/File Photo
(Reuters) -Iranian-backed Houthi militants in Yemen have stepped up attacks on vessels in the Red Sea to show their support for Palestinian Islamist group Hamas fighting Israel in Gaza.
The attacks impact a route vital to East-West trade, especially of oil, as ships access the Suez Canal via the Red Sea.
In response, some shipping companies have instructed vessels to instead sail around southern Africa, a slower and therefore more expensive route.
Below are actions taken by companies (in alphabetical order):
C.H. ROBINSON
The global logistics group said on Dec. 22 it had rerouted more than 25 vessels around the Cape of Good Hope over the past week, and that number would likely grow.
“Blank sailings and rate increases are expected to continue across many trades into Q1 of 2024,” it added.
CMA CGM
The French shipping firm said on Jan. 5 it had not changed its plans announced last month to gradually raise the number of vessels transiting through the Suez Canal.
It had previously rerouted several vessels via the Cape of Good Hope.
EURONAV
The Belgian oil tanker firm said on Dec. 18 it would avoid the Red Sea until further notice.
EVERGREEN
The Taiwanese container shipping line said on Dec. 18 its vessels on regional services to Red Sea ports would sail to safe waters nearby and wait for further notification, while ships scheduled to pass through the Red Sea would be rerouted around Africa. It also temporarily stopped accepting Israeli cargo.
FRONTLINE
The Norway-based oil tanker group on Dec. 18 said its vessels would avoid the Red Sea and the Gulf of Aden.
GRAM CAR CARRIERS
The Norwegian company, which specialises in transporting vehicles, said on Dec. 21 its vessels were restricted from passing through the Red Sea.
HAPAG-LLOYD
The German container shipping line on Jan. 9 said it would continue to divert its vessels away from the Suez Canal and around the Cape of Good Hope. It will take next decisions on Jan. 15.
It had incurred costs in a two-digit million euro range between Dec. 18-31 as a result of diverting 25 ships.
A projectile believed to be a drone struck one of its vessels sailing close to the coast of Yemen on Dec. 15. No crew were injured.
HMM
The South Korean container shipper said on Dec. 19 it had ordered its ships which would normally use the Suez Canal to reroute around Africa.
HOEGH AUTOLINERS
The Norwegian shipping company said on Dec. 20 it would stop sailing via the Red Sea after the Norwegian Maritime Authority raised its alert for the southern part of the sea to the highest level.
KLAVENESS COMBINATION CARRIERS
The Norway-based fleet operator said on Dec. 28 it was unlikely to sail any of its vessels in the Red Sea unless the situation improves.
MAERSK
The Danish shipping group, which controls about one-sixth of global container trade, said on Jan. 5 it would suspend Red Sea traffic “for the foreseeable future”.
Houthi attackers had sought to board one of its container vessels on Dec. 31.
MSC
Mediterranean Shipping Company (MSC) said on Dec. 16 its ships would not transit through the Suez Canal, with some already rerouted via the Cape of Good Hope, a day after two ballistic missiles were fired at one of its vessels.
OCEAN NETWORK EXPRESS
Ocean Network Express (ONE), a joint venture between Japan’s Kawasaki Kisen Kaisha, Mitsui O.S.K. Lines and Nippon Yusen, said on Dec. 19 it would reroute vessels from the Red Sea to the Cape of Good Hope or temporarily pause journeys and move to safe areas.
OOCL
The Hong Kong-headquartered container group said on Dec. 21 it had instructed its vessels to either divert their route away from the Red Sea or suspend sailing. The company, owned by Orient Overseas (International) Ltd, also stopped accepting cargo to and from Israel until further notice.
WALLENIUS WILHELMSEN
The Norwegian shipping group said on Dec. 19 it would halt Red Sea transits until further notice. Rerouting vessels around Africa will add 1-2 weeks to voyage durations, it said.
YANG MING MARINE TRANSPORT
The Taiwanese container shipping company said on Dec. 18 it would divert ships sailing through the Red Sea and the Gulf of Aden via the Cape of Good Hope for the next two weeks.
Source: Investing.com
