Significant majority of container ships on Suez route now diverted

Date Added: 10 January 2024

Significant majority of container ships on Suez route now diverted

With our significant presence in international ocean freight forwarding, Davies Turner was interested in reports that indicate that the number of container vessels that have re-routed via the Cape of Good Hope due to the Red Sea crisis has risen to 354 units as of 7 January, according to the latest Linerlytica report, translating to 4.65 million teu or 16.4% of the global fleet, whilst the Loadstar suggests it could be closing in on 500.

Whatever the actual number, what appears certain is that this number is likely to continue to grow over the coming week with most of the main carriers currently opting for the Cape route.

Only the French shipping company CMA CGM and a small number of niche carriers operating in the Asia to East Med and Baltic markets have continued to use the Suez route, according to Linerlytica, with reports emerging that some ocean carriers have negotiated with Houthi forces in Yemen for safe passage through the Red Sea, although these reports are being denied by the lines.

Linerlytica believes that the diversions will result in an expected capacity shortfall of up to 40% for departures from Asia to Europe and the US East Coast in weeks 4 to 6, with freight rates expected to surge further over the coming weeks.

In addition, it adds that delays have also affected the availability of containers returning to Asia.

Davies Turner is committed to helping clients manage this difficult situation and mitigate where possible additional costs incurred. Our oceanfreight team will endeavour to keep in close contact with all clients to provide up-dates on specific movements.

For more information about Davies Turner’s ocean freight forwarding and logistics services, please contact or visit the relevant pages of this website.

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