Please see below extract form a communication received from MSC:

Please note that effective May 1st through May 14th, there will be a USD 500 per TEU rate increase.

This adjustment is necessary due to ongoing disruptions in the Red Sea region, which have disrupted maritime traffic flow. These disruptions have compelled all carriers, including our service, to modify routing. As a result, we are now navigating around the Cape of Good Hope, leading to increased bunker consumption and an average transit time extension of 10 days.

Our Far East operations are particularly affected as they traditionally utilize the Red Sea canal. With the rerouting around the Cape of Good Hope, we are required to deploy additional vessels—typically 2 to 3 per service—to maintain our weekly schedules. Despite our efforts, we’ve had to announce a blank sailing for weeks 17 & 19 due to considerable delays in vessel turnaround to the Far East. Challenges at South African ports are exacerbating disruptions and delays.

The impacts of the Red Sea situation are far-reaching, affecting the entire supply chain globally. Increased turnaround times have severely impacted container and equipment utilization. Coupled with sustained demand, these operational challenges necessitate rate adjustments.

Recent escalations in the Red Sea area have reinforced the need for decisive action to uphold reliable service delivery. It’s imperative to convey the challenges we face as a shipping line and their profound impacts on both our operations and the global supply chain.

Other carriers are likely to follow with rate increases in the coming weeks, space is limited and there and there is a shortage of containers in Asia – this applies to all carriers. In addition, port operations in South Africa are extremely strained with 30 vessels at anchorage outside Durban port and 33 vessels at berth. The back log and delays are steadily increasing, carriers continue to bypass Durban because of the congestion either going to Coega or PE, on to Cape Town and returning to Durban. Some carriers are also trans-shipping at Walvis Bay to try improving rotation, but this is adding anything between 10 and 15 days additional on top of the delay already incurred.

We will continue to monitor the situation and keep you updated.