Red Sea Disruptions Trigger Sharp Decline in Global Shipping Reliability
Red Sea Disruptions Trigger Sharp Decline in Global Shipping Reliability
Sea-Intelligence's reliability data for January 2024 shows that global shipping reliability has experienced a sharp decline due to disruptions in the Red Sea, with only slightly more than 51% of vessels arriving on schedule. Outside the pandemic period, this represents an exceptionally low rate; historically, before the pandemic, this figure typically ranged between 70–80%.
While sharp declines in trade flowing through the Red Sea are expected, what may be less intuitive is that many trades unrelated to the Red Sea have also experienced severe drops. For example, on trans-Pacific and Atlantic trade lanes that do not transit the Red Sea, fewer than half of vessels arriving at U.S. West and East Coast ports managed to reach their destinations on time over the past two months.
This situation demonstrates that disruptions in certain services can ripple throughout the system, affecting unrelated trades—likely due to sudden route changes or port-related complications.
This has also led, for the first time in 13 years of detailed measurements by Sea-Intelligence, to CMA CGM becoming the most reliable carrier on a global average basis. This achievement was supported by successfully navigating vessels through the Strait of Bab-el-Mandeb.
Key Points:
Global shipping reliability has experienced a sharp decline due to Red Sea disruptions.
Trade lanes unrelated to the Red Sea have also experienced similar sharp declines.
This creates a "contagion" effect across the entire system.
CMA CGM has been recorded as the most reliable carrier for the first time.