Though a ceasefire in the Middle East has raised hopes of a large-scale return of container ships to the Red Sea, most container ships are still sailing around the Cape of Good Hope and there is no guarantee the situation will change this year, Xeneta said.
But if that happens, it could see freight rates collapse due to increased capacity in the market caused by carriers taking the shorter route.
But if that happens, it could see freight rates collapse due to increased capacity in the market caused by carriers taking the shorter route.