Hapag-Lloyd does not expect the shipping industry to resume using the Suez Canal anytime soon, even if a ceasefire between Hamas and Israel is reached, Reuters reports.
This statement follows the recent support from Palestinian groups for a U.N. Security Council resolution proposing a ceasefire in Gaza. Despite this, Hapag-Lloyd, the world’s fifth-largest shipping firm, emphasized that Houthi attacks in the region would likely persist, delaying the resumption of normal operations.
The disruption in the Suez Canal has significantly impacted commercial shipping, especially in the Red Sea region, where attacks by Yemen-based Houthi militants have caused operators to avoid the canal. Hapag-Lloyd indicated that once the canal reopens, it would still take four to six weeks to rearrange schedules and restore normal operations.
Shares of Hapag-Lloyd and its Danish counterpart Maersk fell by 5-6% in response to this news. Maersk declined to comment further, with its CEO previously stating that a permanent solution would be necessary before considering a return to the Red Sea, Reuters notes.
