Amid ongoing Red Sea diversions by shipping giants like Maersk, CMA, logistics managers are globally confronting a dual challenge of escalating ocean and air freight prices alongside cargo disruptions due to heightened security risks posed by Houthis. As of Dec 22, 158 vessels were diverted from the Red Sea.

Attacks by Yemen’s Houthi militants on ships in the Red Sea are disrupting maritime trade through the Suez Canal with some vessels re-routing to a much longer East-West route via the southern tip of Africa.

The major carriers remain divided on sending vessels through the Suez Canal and the Red Sea as they continue to acknowledge that safety remains a concern. With the deployment of the international security coalition in the region, several carriers including Maersk are beginning to restore some services while others continue to say it is too soon due to the instability and safety issues.

CMA CGM also reported to customers that some vessels have made the transit through the Red Sea and that it was currently devising plans for the gradual increase in the number of vessels transiting through the Suez Canal.

After one of its vessels was attacked yesterday off the coast of Yemen, MSC Mediterranean Shipping Company said “Until their safety can be ensured MSC will continue to reroute vessels booked for Suez transit via the Cape of Good Hope.

Re-routing ships around Africa and away from the Suez Canal following attacks on commercial vessels in the Red Sea adds costs for shipping companies.

Container shipping is likely to see the largest freight rate increases, followed by bulk carriers. Tankers, many of which originate from the Middle East, are already enjoying high rates so rises may be limited. Air cargo rates may also benefit from demand for time-sensitive shipments.


More News
Exim rebrands as ExSyn: We celebrate our 30-year heritage with a new brand and website that bring alive our values and purpose
News · 27/03/2021

Today we announce that Exim is rebranding as ExSyn. We are presenting a new brand identity and website as a reflection of our relentless transformation over the course of 30 years serving the pharma and chemical industries. The new brand builds upon our core strengths as a sourcing company and captures our most essential duty: helping improve people’s health and lives.

Maximising product potential with spray drying in CDMO
News · 02/03/2024

The pharmaceutical and biotechnology industries constantly seek innovative methods to enhance product stability, solubility, bioavailability and ease of use. Within this realm, CDMOs [Contract Development & Manufacturing Organizations] serve as invaluable partners in the development and production of high-quality drug products.

In Focus: Cetylpyridinium chloride monohydrate
Products in focus · 28/02/2024

Cetylpyridinium chloride is the chloride salt form of cetylpyridinium, a quaternary ammonium with broad-spectrum antimicrobial activity. Upon topical administration, cetylpyridinium chloride is positively charged and reacts with the negatively charged microbial cell surfaces, thereby destroying the integrity of the cell membrane.

In Focus:N2-isobutyryl-2′-OMe-guanosine
Products in focus · 20/02/2024

N2-Isobutyryl-2′-O-methyl-guanosine (IBG) is a modified nucleoside that has gained significant attention in recent years due to its potential therapeutic and industrial applications. IBG is a derivative of guanosine, a nucleoside that is a building block of RNA and DNA.