News / Carriers juggling capacity and port congestion 'taking us back to the dark days'

AI-generated image: © MrFly

Shipping’s response to the Red Sea crisis is to reduce capacity to an extent far exceeding expectations, leading to a situation in Europe for Asia-Mediterranean traffic not seen since the pandemic, according to some analysts.

According to Xeneta, new transhipment networks, meant to reduce the impact of Red Sea diversions, are instead adding to it by creating congestion. Deploying more smaller vessels has contributed to an increase in wait times.

The Loadstar recently reported that carrier giants such as Cosco and Evergreen ...