Following customer feedback, French shipping giant CMA CGM has reversed its decision to navigate its INDAMEX (Indian Subcontinent-US East Coast) service via the Cape of Good Hope, opting instead for the Suez Canal route. This adjustment comes shortly after the company initially announced a different course. The change of plan is attributed to cargo insurers' reluctance to provide coverage amid concerns over Houthi attacks, which made the original detour less viable.
The INDAMEX service, which commenced in August, originally involved nine ships with a capacity between 9,000 and 10,000 TEU, covering ports from Port Qasim to Charleston via the Cape of Good Hope. The revised route now includes 11 vessels, ranging from 8,500 to 9,950 TEU, with the CMA CGM Pelleas being the first to embark on this mid-month.
Despite inquiries, CMA CGM has yet to comment on the switch. However, industry experts like Lars Jensen of Vespucci Maritime and Linerlytica's Tan Hua Joo have suggested that customer pushback likely influenced the decision. Notably, CMA CGM continues to utilize the Suez Canal for its BEX2 service, which remains unaffected by Houthi threats due to its specific container shipments to and from Lebanon.
Source: India Seatrade News