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Red Sea disruptions to continue into Q3, Maersk CEO says
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Red Sea disruptions to continue into Q3, Maersk CEO says
Jul 1, 2024 12:49 PM

COPENHAGEN, July 1 (Reuters) - The coming months will be

challenging for carriers and businesses, as disruptions to

container shipping via the Red Sea continue into the third

quarter, Danish shipping company Maersk said on

Monday.

Maersk and other shipping companies have diverted vessels

around Africa's Cape of Good Hope since December to avoid

attacks by Iran-aligned Houthi militants in the Red Sea, with

the longer voyage times pushing freight rates higher.

"The longer that this lasts, the more our costs will get

deeply ingrained," Maersk said in a statement, citing comments

made by CEO Vincent Clerc at "a recent online event with

customers".

"We don't know yet exactly how much of these costs we will

recover and for how long. The higher rates we are seeing right

now are of a temporary nature," Clerc said.

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