SUEZ CANAL RETURN GATHERS PACE
- Maersk and Hapag Lloyd announced on 6 July that their AE15 Asia to Mediterranean service will return to the Suez Canal instead of routing around the Cape of Good Hope.
- The 19 000 TEU Majestic Maersk will be the first vessel through, expected at the canal around 24 July, marking the second Gemini return attempt this year.
- The move follows fresh security assessments after Red Sea operations were suspended when hostilities flared in late February.
- A wider return remains conditional on stability in the region, so no immediate relief on rates or transit times should be assumed.
- Importers should confirm routing on every booking and base decisions on current rates, surcharges and schedules rather than expectations.
WCI SPOT RATE TREND
USD per 40ft container, indicative weekly pathTHE WEEK'S TOP DEVELOPMENTS
Drewry's World Container Index rose a further 9% to $4 530 per 40ft for the week ending 2 July, which is 61% higher than the same week last year. Shanghai to New York jumped 11% to $7 902 while Shanghai to Los Angeles rose 10% to $6 349, and Asia to Europe lanes climbed too with Shanghai to Genoa at $6 360 and Shanghai to Rotterdam at $4 682.
Carriers have scheduled eight blank sailings on the transpacific for the coming week and HMM introduces a $3 000 per 40ft peak season surcharge from 15 July. Drewry expects rates on both major east west trades to keep climbing over the next several weeks.
Transnet Port Terminals recently set a new record by moving more than 100 000 TEUs in a single week, while Cape Town Container Terminal has beaten its own throughput forecasts by as much as 62%. At Durban's Pier 2, new operator ICTSI is investing R11 billion to lift capacity from 2 million to 2.8 million TEUs, with crane moves per hour climbing from 18 towards 28.
Conditions remain uneven though, with weather delays and anchorage congestion still appearing at some terminals, so gains at the quayside do not always translate into faster cargo flow inland.
South African border crossings have been averaging around 8.4 hours, while Kasumbalesa on the Zambia to DRC corridor remains the region's worst bottleneck, with recent crossings taking around two and a half days and northbound queues stretching up to 40 km.
Beitbridge has improved markedly following its $300 million redevelopment, though Zimbabwe's new Statutory Instrument 59 licensing requirements have created fresh congestion as regulatory change outpaces preparation on the ground.
Nearly 3.7 million TEU, which is about 11% of the global container fleet, is currently tied up waiting for berths. North Asia accounts for 38% of global congestion, followed by North Europe at 13%, where Benelux and German ports are seeing delays of up to a week.
Global schedule reliability has slipped to 62.8% on time performance, and analysts expect elevated variability through at least the third quarter given alliance reshuffles, Red Sea detours and sustained import demand.
Since 1 July, containers presented for export without a verified gross mass are not being loaded. Facilities using weighbridges, cranes or other Method 1 equipment must hold valid SAMSA authorisation, and terminals are applying the requirement strictly.
📋 KEY TAKEAWAY
The lowest freight rate is not always the best commercial decision. With rates climbing, surcharges landing mid month and schedules unreliable, confirm routing, transit time, space, rate validity, free days and destination costs before cargo moves to protect your margins.
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