Factbox: Shipping firms react to Houthi attacks in Red Sea

Gram Car Carriers ASA

08/02/2024 14:24

(Updates CMA CGM, Hoegh Autoliners, Maersk)
       Feb 8(Reuters) - Houthi militants in Yemen have stepped
up attacks on vessels in the Red Sea, impacting a shipping route
vital to east-west trade.
    In response, some shipping companies have instructed vessels
to instead sail around southern Africa, a longer and therefore
more expensive route.
    Below are actions taken by companies (in alphabetical
order):

    C.H. ROBINSON  CHRW.O 
    The global logistics group said on Dec. 22 it had rerouted
more than 25 vessels around Africa over the previous week, and
that number was likely to grow.
    "Blank sailings and rate increases are expected to continue
across many trades into Q1 of 2024," it said.

    CMA CGM
    On Feb 2, the French shipping group suspended until further
notice all crossings by its vessels of the Bab al-Mandab Strait
in and out of the Red Sea,  a source familiar with the matter
said.
    It had previously said it would reroute a weekly service
between Europe and Australia to avoid attacks, and that it
expected months of disruption.
    
    EURONAV  EUAV.BR  
    The Belgian oil tanker firm said on Dec. 18 it would avoid
the Red Sea until further notice.

    EVERGREEN  2603.TW  
    The Taiwanese container shipping line said on Dec. 18 its
vessels on regional services to Red Sea ports would sail to safe
waters nearby, while ships scheduled to pass through the Red Sea
would be rerouted around Africa. It also temporarily stopped
accepting Israeli cargo.

    FRONTLINE  FRO.OL  
    The Norway-based oil tanker group on Dec. 18 said its
vessels would avoid the Red Sea and the Gulf of Aden.

    GRAM CAR CARRIERS  GCC.OL 
    The Norwegian auto carrier said on Dec. 21 its vessels were
restricted from passing through the Red Sea.

    HAFNIA  HAFNI.OL 
    The Norwegian shipping firm said on Jan. 12 it has halted
all ships heading towards or within the Bab al-Mandab Strait.

    HAPAG-LLOYD  HLAG.DE  
    The German container shipping line said on Jan. 22 it will
continue to route its vessels around Africa until further
notice. 
    The company also said it is introducing land corridors from
Jebel Ali, Dammam and Jubail to its ocean shuttle service out of
Jeddah to mitigate the impact on its business.
    CEO Rolf Habben Jansen warned on Jan. 31 the attacks on
cargo vessels in the Red Sea are unlikely to cease soon, adding
that a political deal and a mission to protect freight vessels
might bring a resolution within six months.
    The company swung to a wider-than-expected fourth-quarter
operating loss due to lower transport volumes following the
attacks on ships in the Red Sea.
    
    HMM  011200.KS  
    The South Korean container shipper said on Dec. 19 it had
ordered its ships which would normally use the Suez Canal to
reroute around Africa.

    HOEGH AUTOLINERS  HAUTO.OL 
    The Norwegian auto carrier said on Dec. 20 it would stop
sailing via the Red Sea.
    On Feb. 8 the company said that the Red Sea disruptions were
adversely impacting its capacity and volumes.

    KLAVENESS COMBINATION CARRIERS  KCCK.OL  
    The Norway-based fleet operator said on Jan. 16 it would not
 trade any of its vessels through the Red Sea until the
situation improves.

    KUEHNE + NAGEL  KNIN.S  
    "Even if from today forward the Bab al-Mandab Strait was to
become safe and secure for transit, we expect it will take a
minimum of two months before vessels could assume normal
rotational patterns," Michael Aldwell, executive VP for sea
logistics at the Swiss logistics firm, said on Jan. 12.

    MAERSK  MAERSKb.CO 
    The Danish shipping group on Jan. 5 suspended Red Sea
traffic "for the foreseeable future".
    On Jan. 18, Maersk said the Red Sea disruptions and winter
weather were causing congestion at container terminals, urging
customers to pick up their units as soon as possible. It also
started offering customers the option to shift some cargo from
vessels to air freight at ports in Oman and the UAE.
    A day earlier, its CEO said the Red Sea-related disruption
to global shipping would likely last at least a few months.
    On Jan. 16, Maersk sent two container ships through the Red
Sea carrying goods for the U.S. military and government. 
    On Jan. 25 it suspended Red Sea transits by vessels of 
Maersk Line, Limited (MLL), its U.S. subsidiary carrying cargo
for U.S. government agencies.
    On Feb. 8, Maersk warned that container shipping
overcapacity would hit profits more than expected this year, and
that it did not see a major boost from the jump in freight rates
due to disruptions.

    MSC
    Mediterranean Shipping Company (MSC) said on Dec. 16 its
ships would not transit through the Suez Canal.

    NIPPON YUSEN  9101.T  
    Japan's biggest shipper by sales suspended navigation
through the Red Sea for all vessels it operates, a spokesperson
told Reuters on Jan. 16. It has also instructed vessels near the
Red Sea to wait in safe waters and is considering a route
change.

    OCEAN NETWORK EXPRESS
    Ocean Network Express, a joint venture between Japan's
Kawasaki Kisen Kaisha  9107.T , Mitsui O.S.K. Lines  9104.T  and
Nippon Yusen, said on Dec. 19 it would reroute vessels from the
Red Sea to the Cape of Good Hope or temporarily pause journeys
and move to safe areas.

    OOCL
    The Hong Kong-headquartered container group said on Dec. 21
it had instructed its vessels to either divert their route away
from the Red Sea or suspend sailing. It also stopped accepting
cargo to and from Israel until further notice.

    TAILWIND SHIPPING LINES
    Lidl unit Tailwind Shipping Lines, which transports non-food
goods for the discount supermarket chain and goods for
third-party customers, said it was sailing around Africa for
now.
    
    TORM  TRMDa.CO 
    The Danish oil tanker group said on Jan. 12 it had decided
to pause all transits through the southern Red Sea for now.
  
    WALLENIUS WILHELMSEN  WAWI.OL  
    The Norwegian shipping group said on Dec. 19 it would halt
Red Sea transits until further notice.

    YANG MING MARINE TRANSPORT  2609.TW  
    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.

    <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Type of goods shipped via the Suez route    https://tmsnrt.rs/3NBsrTC
Vessels re-routing around Africa    https://tmsnrt.rs/3NVTcCz
US, UK ship investors hit by soaring Red Sea insurance - sources
     urn:newsml:reuters.com:*:nL8N3EQ5MF
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 (Compiled by Paolo Laudani, Izabela Niemiec, Jesus Calero,
Louis van Boxel-Woolf, Tristan Veyet and Elsa Ohlen in Gdansk;
Editing by Jason Neely and Jan Harvey)
 ((Paolo.Laudani@thomsonreuters.com;))