The escalation of the conflict in the Middle East is causing severe disruption to air and ocean freight services. Whilst the shipping routes to and from the Middle East region are most effected, the implications on global supply chains are widespread.
Below is some further information on what we understand so far. If there are any delay to shipments enroute we will inform clients directly.
SEA FREIGHT
Shipping lines have suspended services to and from the Middle East region in response to the conflict. The lines that had planned to route via the Red Sea/ Suez Canal again have also postponed this change and therefore all shipments from the Far East and Indian Sub-continent will continue to route around the Cape of Good Hope until further notice. Whilst this doesn’t directly affect any transit times, the adjustment to carriers’ routings will likely have a knock-on effect to all routings. We will notify any clients with updated ETA’s when relevant.
The disruption along with rising oil prices may affect shipping costs in the near future as well as marine insurance costs.
AIR FREIGHT
Multiple airlines have suspended both passenger and freighter service across much of the Middle East region. This as well as airspace closures means delays and re routings to air freight from the Far East and especially the Indian sub-continent to the UK and EU due to the amount of freight which is routed via Dubai.
We expect this to lead to rising air freight costs in at least the short term. Any direct effect to current shipments will be discussed case by case with clients.
HOW CCT ARE SUPPORTING OUR CLIENTS
Our customer service teams are closely monitoring all shipments and will update clients immediately with any changes to ETA or delays in departure. Our teams are engaging with shipping lines and airlines to understand the implications the conflict will have and the solutions that remain available. Please contact your CCT customer service representative should you have any specific questions.