Container ships Bangkok Maersk transiting the Suez Canal
| Photo Credit:
Supplied
Large container ships are returning to the Suez Canal as shipments for the Christmas and New Year season to Europe and the US gather pace, with shipping lines beginning to restore services on the key Asia-Europe trade route.The Suez Canal, on Saturday, witnessed the transit of Bangkok Maersk with carrying capacity of 17,200 TEUs, on its voyage from Italy to Singapore, as per a social media post by Ossama Rabiee, Chairman and Managing Director of the Suez Canal Authority. This follows the passage of CMA CGM’s mega container ship CMA CGM Saint Germain from Morocco to Malaysia through the canal about a month ago.The renewed movement of mega ships comes after almost 1,000 days of disruption to shipping through the canal following attacks on commercial vessels by Yemen-based Houthi forces from late 2023. Major container lines subsequently diverted services around the Cape of Good Hope to avoid the Red Sea, adding significant sailing time and costs.For Indian exporters, particularly those shipping time-sensitive apparel, textiles, engineering goods and other seasonal merchandise to Europe and the US, a sustained return of container services through the Suez Canal could ease logistics costs and improve transit reliability during the peak export season.The developments could mark an important step towards the gradual return of regular container services through the Suez Canal, instead of the longer route around the Cape of Good Hope, offering a potential boost to Indian exporters. It will also cut voyage times by about two weeks and significantly reduce additional fuel and freight costs for carriers and shippers.Jagannarayan Padmanabhan, Senior Director and Global Head-Consulting, Crisil Intelligence, said the return of large container vessels through the Suez Canal is positive for Indian trade. India’s West Coast ports are well positioned to benefit from shorter transit times to Europe, potentially reducing freight, inventory and working-capital costs.The timing is favourable with Christmas and New Year shipments approaching, while improved reliability would further support India-Europe trade, he said.J Krishnan of Chennai-based S Natesa Iyer Logistics LLP said the opening of the Suez Canal and resumption of merchant shipping without restrictions or conditions would provide significant relief to global trade. “Supply chains will regain their reliability, freight costs will head south, and increased service frequencies will help Indian exporters approach the upcoming Christmas season with greater confidence and meet the expectations of foreign buyers,” he said.An official of a Tiruppur-based textile exporter said, “The revival is a positive development for the textile trade. If shipping lines sustain the Suez services and reduce freight rates, it will provide much-needed relief to exporters.”Published on August 23, 2026
