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Strategies & Market Trends : World Outlook -- Ignore unavailable to you. Want to Upgrade?

To: Les H who wrote (40445)	1/27/2024 12:09:28 PM
From: Les H	Read Replies (1) \| Respond to of 51117

China and Russia Get a Free Pass Through Houthis' Red Sea Blockade Chinese shipping interests appear to be aware of this exception. Many China-linked ships have been broadcasting "All Chinese" or "Chinese Ship" as their AIS "destination" during transits through the Red Sea. Likewise, some ships with Russian cargoes have been broadcasting some variant of "Vessel No Contact Israel." The proportion of Chinese shipping in Red Sea container traffic has been rising dramatically, according to Lloyd's List, though total container traffic has plummeted). One brand new Chinese carrier even appears to specialize in Red Sea transits. Recently-launched Sea Legend Shipping operates a fleet of seven Panamax boxships that run between China and Turkey, calling at ports in the Gulf of Aden and the Red Sea on the way out and back. It even calls periodically in Yemen (Aden) and serves the Houthi-controlled port of Hodeidah through a transshipment connection. (Lloyd's List first identified Sea Legend's niche service.) Sea Legend has benefited from naval escort protection from China's PLA Navy, the company says - a relatively rare advantage. The PLA Navy has been conspicuously absent from the allied policing operation off Yemen, though it has warships in the area and a large base in nearby Djibouti. Sea Legend's site highlights that in "the style of a great country, flying the five-star red flag, the Chinese navy escorts" its vessels. It also lists the scheduled transit times for PLA-protected convoys. The Red Sea-Suez route is by far the fastest option for ocean freight between the Far East and the Mediterranean. The alternative is a trip around the southern tip of Africa, which adds about 10 days onto a typical container ship voyage, raising cost and imposing delays on customers. Vessels that can continue to use the Suez Canal may have a competitive advantage relative to their peers. maritime-executive.com