Maersk and Hapag-Lloyd resume Suez Canal service

International shipping giants Maersk and Hapag-Lloyd announced on Monday that they would resume some route services passing through the Suez Canal under their jointly operated Gemini shipping network. Due to market concerns that this move may depress global shipping rates, both companies’ share prices fell on the same day.
Since the Houthi rebels in Yemen have been launching attacks on the Red Sea, most shipping companies have stopped using the Suez Canal and the Red Sea route, which are important trade routes connecting Asia and Europe, and instead opted to take a longer route around the Cape of Good Hope in Africa. However, as the regional security situation has improved, more and more shipping companies are beginning to consider returning to the Red Sea route.
“This decision, made jointly with Hapag-Lloyd, follows a comprehensive assessment of the security situation in the Red Sea region and marks a significant step towards gradually restoring the transportation route through the Suez Canal,” Maersk stated in its announcement
The Suez Canal-Red Sea route is the fastest maritime passage connecting Europe and Asia. According to shipping consultancy Clarksons Research, before the Red Sea attacks, this route carried approximately 10% of global maritime trade.
Due to ships having to reroute around Africa, transportation time has significantly increased, which has also driven up global container freight rates, resulting in a substantial rise in maritime transportation costs.
Maersk stated that, apart from the aforementioned adjustments, the company and Hapag-Lloyd have no plans to make any adjustments to other routes within the Gemini network at present, and will continue to closely monitor the development of the situation in the Middle East.
The company added: “Any future route adjustments to the Gemini partnership network will depend on whether the situation in the Red Sea region remains stable and whether conflicts in the region do not escalate further.”. ”
“We believe this is the first step towards a full recovery of the Red Sea route, and is expected to pave the way for a full return to the Red Sea by the end of this year,” Haider Anjum, an analyst at Danske Bank, said in a report sent to clients
He further pointed out: “Once the Red Sea route is fully restored, shipping companies will be able to manage capacity more efficiently. Coupled with the delivery of a large number of new ships in 2027 and 2028, global capacity will further increase, which will exert downward pressure on maritime freight rates and ultimately reduce the profitability of shipping companies.”
In fact, Maersk and Hapag-Lloyd had announced in mid-February this year the resumption of the jointly operated ME11 route, which connects India, the Middle East, and the Mediterranean region, passing through the Suez Canal. The relevant ships completed the voyage under naval escort at that time. However, tensions in the Middle East have escalated again, pushing up fuel costs, and thus putting pressure on shipping companies’ operating costs.
Just last week, Maersk raised its full-year 2026 performance guidance, driven by sustained strong demand in the container shipping market, particularly in East Asia. Maersk also stated that it expected global container shipping market volumes to grow by approximately 4% in 2026, which is at the high end of its previous forecast range.