With Maersk pausing operations through the Suez Canal amid a slew of drone attacks on container vessels in the region, CEO Vincent Clerc says re-routing traffic around the southern tip of Africa will cause shipping delays of two to four weeks.
“It could take weeks to re-open the safe passage in the Red Sea,” he notes.
Maersk has decided that all vessels previously paused and due to sail through the region will now be re-routed around Africa via the Cape of Good Hope for safety reasons.
They will continue their voyages on the diverted routes as soon as operationally feasible.
Speaking live on CNBC “Money Movers” Maersk´s CEO Vincent Clerc provided details on the re-routing of vessels and Red Sea disruption, “It is important for us to guarantee the safety of our crew.”
Vincent Clerc discussed whether the U.S.-led multinational force will impact vessel safety in the Red Sea, how the disruptions affect supply chains, and more.
“It’s a stark reminder, just a short time after Covid, that disruptions in supply chains are still staying with us,” Maersk CEO Vincent Clerc said.
Maersk, one of the shippers who paused operations in the Red Sea, expects two to four weeks of delays, according to CEO Vincent Clerk.
Vincent Clerc told CNBC that the announcement by US Defence Secretary Lloyd Austin creating a multinational naval operation to safeguard commerce in the Red Sea was reassuring and that he welcomed the operation, but he said the company can no longer guarantee the safety of its crew and for this reason Maersk took the decision to pause all journeys through the Red Sea.
He also noted that getting vessels moving via the Cape of Good Hope will ultimately be a faster and more predictable outcome for customers and their supply chains.
However, he said the re-routing traffic around the southern tip of Africa will cause shipping delays of two to four weeks.
“We have been a victim of an attack and fortunately no one was hurt, but during the weekend other ships from shipping companies have been attacked and, in some cases, have been hit and sustained damages. It was very important for us to pause the journeys in order to guarantee the safety of our crew. It is going to take few weeks for the task force to be fully operational and to re-open the safe passage in the Red Sea.”
The Danish shipping giant Maersk in an update yesterday said that “For all future vessels planned to sail through the area, a case-by-case assessment will take place to determine whether adjustments need to be made – including diversions via the Cape of Good Hope and further contingency measures.”
