Maersk is diverting all container vessels from Red Sea routes around Africa's Cape of Good Hope for the foreseeable future, warning customers to prepare for significant disruption.
Shippers across the world are switching away from the Red Sea - and so the shortest route from Asia to Europe via the Suez Canal - after Iranian-backed Houthi militants in Yemen stepped up attacks on vessels in the Gulf region to show their support for Hamas fighting Israel in Gaza.
The trip round Africa can add about 10 days to journey times and requires more fuel and crew-time, jacking up shipping costs, Reuters reported.
Denmark's Maersk had said earlier this week it would pause all vessels bound for the Red Sea following an attack on one of its ships by the Houthis, and has since begun redirecting ships around Africa.
"The situation is constantly evolving and remains highly volatile, and all available intelligence at hand confirms that the security risk continues to be at a significantly elevated level," Maersk said in a statement on Friday.
As a result, the company, which controls about one-sixth of global container trade, will divert all Maersk vessels around the Cape of Good Hope "for the foreseeable future.”
