EMEA News
Gaza Ceasefire Unlikely to Lead to Imminent Suez Rerouting: Container Expert
Negotiators in Qatar are finalizing the details of the Israel-Gaza ceasefire agreement, with both sides signalling that a deal is closer than ever, Reuters reported.
Even with a breakthrough in the Israel-Gaza ceasefire agreement, shipowners may still adopt a cautious approach before deciding to reroute vessels through the Suez Canal, instead of the current longer route around the Cape of Good Hope, Lars Jensen, CEO of container consultancy Vespucci Maritime, said in a LinkedIn post.
"First, in order to revert to a Suez routing the carriers would want to be reasonably certain that the situation does not suddenly deteriorate, and they would have to make their vessels do a U-turn and once more revert back to Africa," Jensen said.
While a ceasefire may be seen as a hopeful first step toward peace, the unpredictable nature of developments in the region means that whether it will hold remains to be seen.
Furthermore, recent communication from the Houthis suggests that a ceasefire alone may not be enough to de-escalate tensions.
In today's news, they state: "The Yemeni Armed Forces have vowed to continue their attacks until Israel halts its ground and aerial offensives in Gaza."
"The Yemeni Armed Forces will continue their operations until the aggression against Gaza ceases and the siege is lifted."
Jensen emphasizes that the key question remains, does a ceasefire automatically mean the siege is lifted?
