News & Insights

The Impact of the Red Sea Situation on Supply Chains: Consequences and Adjustments

Several shipping companies have announced route changes following incidents over the weekend. Multiple vessels reported attacks while passing through the Red Sea, leading to disruptions in maritime traffic and raised security concerns in the area.


So far, Maersk, Evergreen, MSC, Hapag Lloyd, CMA CGM, and ONE have decided to suspend all traffic through the Suez Canal until personnel and property can be assessed to safely pass through the canal. Meanwhile, they will mainly navigate around the Cape of Good Hope.


The temporary rerouting around the Cape of Good Hope will result in a minimum extended transit time of 10-12 days for all eastbound and westbound loops of the affected shipping companies to and from the Far East and India Subcontinent. Besides the extended transit time, this decision may ultimately lead to a shortage of space and equipment on directly and indirectly affected loops ahead of Chinese New Year. These changes will entail higher costs.


Hecksher’s import and export departments will monitor and manage all shipments impacted by the ongoing situation, keeping you informed about any schedule changes. Further updates will be provided as they become available.


Please contact your local office for any questions.