U.S. Navy to "secure" Red Sea passage, uncertainty increases

Operation Prosperity Guardian is bringing together multiple countries to include the United Kingdom, Bahrain, Canada, France, Italy, Netherlands, Norway, Seychelles and Spain, to jointly address security challenges in the southern Red Sea and the Gulf of Aden with the goal of ensuring freedom of navigation for all countries and bolstering regional security and prosperity.

~920,000 TEUs have diverted south of Africa & another ~1,002,000 are delayed in Suez area: Anders Schulze, Flexport

Recent disruptions are poised to escalate operational costs, adding significant strain, while concurrently exerting downward pressure on profits. It marks a disheartening beginning to the strategic planning for the year 2024: Christian Roeloffs, Container xChange

Vessels sailing around the Cape of Good Hope in South Africa will likely add 10-14 days of travel time, says windward.ai.

What’s different this time? "The excess capacity available to address the disruption is what is different this time. Shippers could expect longer lead times due to longer voyages but operations should continue reasonably well. Freight rates will likely increase on these longer but it is unlikely that rates will spike to levels experienced during the pandemic: Judah Levine, Freightos

The ease of shifting the freight from sea to air depends on the type of freight. Normally even a small disruption has a long-lasting effect on the supply chains, and if we consider the upcoming holidays - I am sure that we will see this issue for quite some time: Ekaterina Andreeva, Chapman Freeborn Airchartering

Click here to read more

Click Here For More Stories