Shipping Bosses Warn Maritime Security in the Red Sea Getting Worse Not Better [BNN Bloomberg (Canada)]
MITSUI O.S.K. LINES U/ADR (MSLOY)
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Source: BNN Bloomberg
The bosses of A.P. Moller-Maersk A/S and D/S Norden A/S said on Thursday that they felt the threat level was continuing to escalate in the region. It comes after Japanese shipping giant Mitsui OSK Lines Ltd. said the disruption on the route could last for a year. Swaths of the merchant fleet have been avoiding the waterway since attacks by the Houthis began in mid-November. The area grew even more volatile after the US and UK launched airstrikes in the middle of last month, prompting major owners in all sectors to avoid the region. “We've not seen the level of threat peak, to the contrary,” Maersk Chief Executive Officer Vincent Clerc said in a Bloomberg TV interview. “The amount or the range of weapons that are being used for these attacks is expanding and there is no clear line of sight to when and how the international community will be able to mobilize itself and guarantee safe passage for us.” The shipping companies' perceptions of risk matter because they are what will di
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