CMA CGM hits the brakes on Suez comeback as uncertainty ripples through trade lanes

CMA CGM hits the brakes on Suez comeback as uncertainty ripples through trade lanes

French shipping and logistics company CMA CGM has decided to reroute vessels on three container services away from the Suez Canal, citing geopolitical uncertainty, Reuters reports. The move could again lengthen transit times for United States importers sourcing fruit and produce from Asia, the Mediterranean, and India.

The announcement comes as traffic was slowly returning to the passage following regional tensions in 2023, which led to the suspension of shipments.

Suez Canal vessel

The Marseille-based company said Tuesday it will divert vessels on its French Asia Line 1, French Asia Line 3, and Mediterranean Club Express services around the Cape of Good Hope in southern Africa.

“In light of the complex and uncertain international context, the CMA CGM Group is constantly and closely monitoring all potential impacts on its operations,” the firm stated, referring clients and partners to its website for updates. “We are fully mobilized across our global network”.

Suez hopes fade again

Global shipping lines have spent months reassessing the vital Asia-Europe corridor after vessels began avoiding the Red Sea in late October of 2023 due to attacks by Yemen’s Houthi rebels and Israeli military action on the Gaza Strip. 

The disruptions forced carriers to send ships around southern Africa, adding thousands of miles and extra weeks to transit timelines, with knock-on effects for refrigerated cargo and freight rates.

Suez Canal

Wikicommons

A ceasefire in Gaza and a slowdown in attacks raised expectations that traffic through the Suez Canal would return to normal. CMA CGM had already conducted limited escorted transits and sent two large container ships through the canal last month. 

The company was also planning regular Suez passages starting in January for an India-US service, a route closely watched by US produce buyers.

Suez Canal vessel

However, unrest in Iran and warnings from President Donald Trump about possible US intervention have renewed concerns about regional instability.

Other carriers are taking different approaches. Maersk, the world’s second-largest container line, said last week that one of its services would resume transits through the Red Sea and Suez Canal this month.

For US produce importers, the renewed detours signal continued uncertainty around transit times, capacity planning, and freight costs as carriers balance security risks against pressure to restore faster routes.


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