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Red Sea? Disruptions will reduce shipping by 20% in the 2nd quarter
Disruptions to container shipping in the Red Sea “have intensified,” and are “expected to reduce the industry’s capacity” between the Far East and Europe by 20% in the second quarter, Danish shipping company Maersk warned on Tuesday.
© Lusa
Mundo Mar Vermelho
By diverting container traffic away from the Suez Canal and around the southern tip of Africa, via the Cape of Good Hope, Maersk expects container shipping capacity between the Far East, North Europe and the Mediterranean to be reduced by 15%-20% in the second quarter of this year.
"The risk area has increased" and attacks by Yemen's Houthi forces "now extend further offshore," Maersk said in a customer advisory on Tuesday, according to Bloomberg.
This "has forced our vessels to take longer routes, resulting in delays and extra costs to get your cargo to its destination," the Danish shipping and container transport company warned.
On April 30, Portuguese textile company Riopele said, as quoted by Lusa, that the escalation of the conflict in the Middle East and the use of alternative shipping routes had forced the company to rethink its entire logistics system, given the increase in container shipping times from Asia from 45 to 60 days.
"Since we cannot act directly on the shipping routes, what we did was inform our partners of all the procedures," said Riopele's purchasing department director, Paulo Oliveira, in a note published on the company's website at the time.
In addition, Riopele "prioritised two leading shipping companies" and is "keeping an eye on new developments," the manager said.
According to the manager, "the war between Israel and Hamas, followed by attacks on ships in the Suez Canal by the Houthi group, led major shipping companies to divert their normal route through the Red Sea to southern Africa, via the Cape of Good Hope," resulting in a direct increase in freight and transit time.
Last week, Danish group Maersk, considered a barometer of world trade, said that the disruptions to shipping were likely to last until the end of this year at least, although Germany's Hapag-Lloyd gave a slightly more optimistic indication, saying it believed the crisis could be overcome before the end of 2024.
Read Also: Houthis arrested five people accused of sabotage and espionage (Portuguese version)
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