Maersk and CMA CGM will continue to sail via the Cape
Danish shipping firm A.P. Moller-Maersk and French shipping firm CMA CGM will continue to sail via the Cape of Good Hope despite the recent ceasefire deal between Israel and Hamas.
PHOTO: Two different shipping routes from Singapore to Rotterdam. The shorter one runs via the Suez Canal, the longer around the Cape of Good Hope. ENGINE
Israel and Lebanon's Hezbollah group reached a 60-day ceasefire deal on 27 November, initially set to end on 27 January. This deadline has now been extended to 18 February, according to the White House.
In addition, Israel and Iran-backed Hamas armed group agreed to a ceasefire on 15 January, following which Yemen's Houthi group announced that it would halt attacks on commercial vessels in the Red Sea and Bab al-Mandeb Strait.
Now citing concerns over the fragile and unpredictable nature of the situation, both Maersk and CMA CGM have opted to continue using the longer Cape of Good Hope route instead of the Red Sea route through the Suez Canal.
Maersk cited ongoing security risks as the main reason for avoiding the Red Sea, adding that the situation remains unpredictable due to the absence of a phased roadmap to resolve the conflict in the region.
“Furthermore, due to the continued tensions in the region, the security risk of commercial vessels transiting the Red Sea and Bab al-Mandeb Strait remains high,” the company stated.
The Danish shipping major also confirmed that vessels servicing the US, Middle East and European ports through its shared network with Hapag-Lloyd will continue to sail via the Cape of Good Hope but intends to “return to the Red Sea as soon as it is safe.”
CMA CGM echoed this approach, choosing safety over shorter routes.
“Given the ongoing tensions and associated risks for commercial vessels in certain areas, CMA CGM will for time being continue to prioritize alternative routes, including a significant reliance on passage via the Cape of Good Hope,” the company noted.
By Konica Bhatt
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