Shipping Coy Maersk to Decide New Route After Red Sea Attack

Denmark’s Maersk says it will decide whether to resume sending vessels through the Suez Canal via the Red Sea or follow rival, Hapag-Lloyd in continuing to re-route them after a weekend attack on one of its ships.

The container shipping giant on Sunday paused all Red Sea sailings for 48 hours following attempts by Yemen-based Houthi militants to board the Maersk Hangzhou. U.S. military helicopters repelled the assault and killed 10 of the attackers.

Maersk had more than 30 container vessels set to sail through Suez via the Red Sea, an advisory on Monday showed, while 17 other voyages were put on hold.

A decision will be taken regarding how to proceed, a company spokesperson said.

Hapag-Lloyd said on Tuesday its vessels would continue to divert away from the Red Sea – sailing via southern Africa’s Cape of Good Hope instead – until at least Jan. 9.

Oil prices rose in the first session of the new year, boosted by potential disruption to Middle Eastern supply after the latest Red Sea attack.

Shares in shipping companies have risen since the crisis began on expectations that longer routes will result in higher freight rates.

Reuters/Hauwa Abu