Kuehne+Nagel CEO expects most container lines back in Suez Canal by early Q2

Most container shipping lines should resume using the Suez Canal route by late first quarter or ​early second quarter of 2027, Kuehne+Nagel Chief ‌Executive Officer Stefan Paul said on Thursday (22), though he cautioned that geopolitics remained volatile.

“There is a clear intention among carrier ​partners to return to the route,” Paul told Reuters after ​the Swiss freight forwarder raised its 2026 profit outlook ⁠for the third time this year.

The Asia-Europe trade ​corridor through the Suez Canal was abandoned by ​most shippers in November 2023 after attacks in the Red Sea by Yemen’s Houthis, forcing ships to take the much longer ​trip around Africa. Plans to return to the ​Suez Canal were dampened earlier this year after the US-Israeli ‌strikes ⁠on Iran in late February.

Paul also pointed to higher oil prices as a factor increasing the attractiveness of shorter voyage times, though added that reopening of the ​route “would not materially ​affect customer ⁠demand”.

While Maersk has restored selected services through the Suez Canal, analysts say the ​gradual resumption of Red Sea routes ​is unlikely ⁠to materially affect this years earnings, as carriers’ approach remains phased and cautious.

Unlike container lines, freight forwarders such ⁠as ​Kuehne+Nagel do not own ships and ​depend more on cargo volumes than freight rates.

Source: Reuters

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