Maersk says Red Sea diversion will cause major disruptions

Shipping giant Maersk warned Friday that cargo ship diversions caused by Houthi military activity in the Red Sea will likely cause disruptions to international shipping and supply lines.

Maersk and other major shippers began diverting their ships south from the Red Sea this week after Houthi rebels in Yemen began firing on civilian and military ships in the region, including American vessels.

The diversion adds more than a week to ship journeys by avoiding the Suez Canal and instead going around the Cape of Good Hope in South Africa in order to reach Europe. Maersk said the decision was due to a “significantly elevated” security risk in the Red Sea.

“We understand the potential impact this will have on your logistics operations, but please rest assured that all decisions have been carefully considered and ultimately prioritise the safety of our vessels, seafarers and your cargo,” Maersk said in a statement to customers Friday.

“By suspending voyages through the Red Sea / Gulf of Aden, we hope to bring our customers more consistency and predictability despite the associated delays that come with the re-routing,” the company said.

The company said the diversion would continue “for the foreseeable future.”

Houthis attacked one of Maersk’s ships in the Red Sea on Monday, attempting to board it and causing the company to avoid the region.

The U.S. announced a multinational coalition of countries working in the region to attempt to stop Houthi military activity at sea last month. Pressure has mounted on the Biden administration for a more severe response after U.S. Navy vessels were also targeted.

Tags Houthis Maersk Red Sea yemen

Copyright 2024 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed..

 

Main Area Top ↴

Testing Homepage Widget

 

Main Area Middle ↴
Main Area Bottom ↴

Most Popular

Load more

Video

See all Video