Shipping
CMA CGM ANNOUNCES RED SEA CHARGE, REROUTINGS
December 21, 2023

CMA CGM has announced additional measures in its Red Sea operations amid increased attacks on commercial vessels in the waterway.

 

The French shipping line announced a Red Sea charge as part of its efforts to ensure the safety of its crew, vessels, and cargo amid the ongoing developments in the Red Sea region.

 

It also announced the re-routing of several vessels from their intended route through the Cape of Good Hope.

"As highlighted in our previous Customer Advisory, the re-routing of these vessels is a precautionary measure taken to navigate away from potentially unsafe areas. This decision is in line with Clause 10 of our Bill of Lading, and while we understand it may impact your logistics and supply chain operations, it is a necessary step which comes with a cost," CMA CGM said.

 

"Accordingly, we hereby inform you that, effective immediately and until further notice, a RED SEA Charge will apply to all cargo to and from Red Sea ports unless you decide to accomplish the Bill of Lading at the designated hub ports," it added.

 

The Red Sea Charge ranges from US$1,575 per 20' Dry to US$3,000 per reefer from/to Jeddah, Port of Neom, Djibouti, Aden, Hodeidah, Port Sudan, Massawa, Berbera, Aqaba, Sokhna.

 

Meanwhile, it provided more details on its rerouting plans, noting that CMA CGM takes the security of its crews and vessels "extremely seriously."

 

"The CMA CGM Group remains deeply concerned about the recent events in the Red Sea," the announcement said. "Over the past few days, we have taken preventive measures to ensure the safety of our crew, vessels and customers' cargo onboard."

 

"Consequently, the CMA CGM Group has decided, in accordance with clause 10 of its bill of lading, to reroute some of its vessels," it said.

 

It noted, however, that some vessels have made the transit through the Red Sea.

 

"This decision is based on an in-depth evaluation of the security landscape and our commitment to the security and safety of our seafarers. We are currently devising plans for the gradual increase in the number of vessels transiting through the Suez Canal," the French shipping line added, noting that it is monitoring the situation constantly.