Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

Factbox-Shipping firms react to Houthi attacks in the Red Sea

Published 29/12/2023, 14:06
Updated 29/12/2023, 14:10
© 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, aimed at a route that allows East-West trade, especially of oil, to use the Suez Canal to save the time and expense of circumnavigating Africa, prompted some shipping companies to reroute vessels earlier in December.

Others, now encouraged by the deployment of a U.S.-led military operation, are resuming crossings of the area.

Below are companies' reactions (in alphabetical order) to the situation in the Red Sea:

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 continue to grow.

"Blank sailings and rate increases are expected to continue across many trades into Q1 of 2024," it added.

CMA CGM

The French shipping group is planning a gradual increase in the number of vessels transiting the Suez Canal, it said on Dec. 26. "This decision is based on an in-depth evaluation of the security landscape and our commitment to the security and safety of our seafarers," CMA CGM said in a statement.

The company 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 area 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 the Cape of Good Hope. It also temporarily stopped accepting Israeli cargo.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

FRONTLINE

The Norway-based oil tanker group said on Dec. 18 that its vessels would avoid passages through the Red Sea and the Gulf of Aden.

GRAM CAR CARRIERS

The Norwegian shipping company, which specialises in pure car truck carriers, said on Dec. 21 its vessels were restricted from passing through the Red Sea.

HAPAG-LLOYD

The German container shipping line told Reuters on Dec. 29 it has decided to continue to divert its vessels around the Suez Canal for security reasons. It added that a next assessment would be made on Jan. 2.

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 from Europe that would normally use the Suez Canal to reroute via the Cape of Good Hope for an indefinite period of time from Dec. 15.

HOEGH AUTOLINERS

The Norwegian shipping company said on Dec. 20 it would stop Red Sea transit 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 said on Dec. 27 it had scheduled several dozen container vessels to travel via the Suez Canal and the Red Sea in the coming days and weeks.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

It had earlier said it was preparing to let vessels return to the Red Sea after the deployment of the U.S.-led military operation.

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 its vessel.

OCEAN NETWORK EXPRESS

Ocean Network (LON:NETW) Express (ONE), a joint venture of Japan's Mitsui O.S.K. Lines, Nippon Yusen and Kawasaki Kisen Kaisha, said on Dec. 19 it would reroute vessels away from the Suez Canal and the Red Sea. Instead, its ships will navigate around the Cape of Good Hope or temporarily pause their journey and move to safe areas.

OOCL

The Hong Kong-headquartered container group said on Dec. 21 it had guided its vessels to either divert route or suspend sailing to the Red Sea. The company, owned by Orient Overseas (International) Ltd, has also stopped cargo acceptance to and from Israel until further notice.

O.S.K. Lines, Nippon Yusen

Japan's largest shipping companies said their vessels with links to Israel were avoiding the Red Sea area. Both companies also said they were monitoring the situation.

WALLENIUS WILHELMSEN

The Norwegian shipping group said on Dec. 19 it would halt Red Sea transits until further notice. Rerouting vessels via the Cape of Good Hope 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.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.