20% reduction in Europe and Asia freight traffic

On 6 May, A.P. Moller-Maersk, a Danish sea freight carrier, reported that maritime shipping volumes between Europe and Asia will decline by 15–20% in the second quarter due to the ongoing tough circumstances in the Red Sea.

After Yemen’s Houthis began regular attacks on ships sailing through the Red Sea, the number of ships dropped sharply late last year. This has resulted in global cargo transportation disruptions and increased prices for container transportation. Maersk and other container carriers have been forced to reroute their ships around Africa.

The company notes that the risk area has continued to expand since then, significantly lengthening vessel routes and increasing the amount of time and costs for cargo delivery.