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Main Ports: North Europe to Far East
Main Ports: Mediterranean to Far East

Source: Market average rates for 40‘ containers according to www.xeneta.com

Trade Analysis: Far East Eastbound

 

Situation

Shipping lines are bypassing the Suez Canal and diverting ships via the Cape of Good Hope. This has led to longer transit times and significant increases in shipping costs.

To date, the equipment situation in Europe is more or less balanced with only little disruptions to equipment availability.

Obstacles

Global freight is still disrupted as container carriers avoid the Suez Canal, resulting in longer transit times and potential port congestions. In addition, there will be operational challenges such as adjusting schedules and adding new vessels to a service string.

Outlook/Solutions

In summary, the container shipping market is still significantly impacted by the situation in the Red Sea. The rerouting of vessels via the Cape of the Good Hope has led to an increase in transit times (minimum of 10-15 days eastbound). This has put a strain on capacity and resulted in additional surcharges, which are declining slightly on a few routes and only on some shipping lines.

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