MSC Partially Restores Container Shipping Through the Red Sea
MSC (Mediterranean Shipping Company) is partially restoring container ship operations through the Red Sea and the Suez Canal. This decision comes after an analysis of safety conditions and operational circumstances in the region. The changes affect routes in both directions. The return to the shortest route between Asia and Europe occurs nearly two months after similar moves by Maersk and Hapag-Lloyd. According to Freightos, the number of daily sailings through the Suez Canal is increasing, with the seven-day cumulative vessel passage count reaching 50 on August 25, the highest level of the year. Experts suggest that shipping through the Red Sea may normalize by the end of the year. Since late 2023, most cargo ships have been bypassing the region via the Cape of Good Hope due to attacks by Yemeni Houthis and escalating tensions around Iran. The return to the Suez route is critically important for the market as it frees up capacity, reduces price pressure on container freight rates, and decreases delays at ports in the Far East and Europe.
-- Price
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