French shipping giant CMA CGM is preparing to resume a full service loop through the Suez Canal and Red Sea, becoming the first major carrier to formally restore one of its east–west routes since Houthi attacks forced global container lines to divert around the Cape of Good Hope last year.

The company confirmed that its INDAMEX service, which connects India, Pakistan and the U.S. East Coast, will again transit the Suez Canal on both fronthaul and backhaul legs. The first vessel to make the complete loop will be CMA CGM VERDI, sailing from Karachi to New York on 15 January 2026.

According to data from eeSea, the restored routing cuts the full loop transit time by two weeks, bringing it down to 77 days, compared with the longer diversion around Africa. The service uses vessels between 6,000 and 10,000 TEU, operating weekly with 11 ships.

Xeneta’s Chief Analyst Peter Sand said that this decision is a positive development but does not mean the industry is ready for an immediate large-scale return to the Red Sea. He explained that carriers, especially CMA CGM, had been trying out limited Suez transits in recent months, mainly on backhaul voyages to Asia when ships had less cargo onboard.

Before the new rotation becomes fully active, four other INDAMEX vessels, APL OREGON, APL LE HAVRE, CMA CGM PASSION, and CMA CGM MAUPASSANT, will also make eastbound Suez transits.

Several other CMA CGM ships, such as APL CHANGI, CMA CGM JULES VERNE, CMA CGM GALAPAGOS, APL MERLION, CMA CGM GRACE BAY, and CMA CGM KIMBERLEY, have also recently transited Suez, although only APL MERLION and CMA CGM KIMBERLEY are part of official schedules.

CMA CGM had earlier managed to keep limited services running through the Red Sea by using naval escorts under EUNAVFOR Operation Aspides, though the company had faced delays while waiting for convoys.

Xeneta data shows that only 120 containerships transited the Suez Canal in November 2025, compared with 583 in October 2023, just before attacks escalated.

Sand explained that carriers are continuing to assess the Houthis’ ability, opportunity and intent to attack ships. He said their capability is already clear, but carriers want more confidence about intent, especially because the risk will increase as more ships start sailing through the region again.

On 5 December, a bulker reportedly fired warning shots at approaching skiffs near the Bab al-Mandeb, raising new alarms even though early indications suggested the skiffs were not linked to the Houthis.

Other major carriers remain cautious. Hapag-Lloyd and Maersk have said they expect a slow, gradual return once the security situation improves. ZIM has told investors it cannot resume Red Sea transits until insurers agree to provide cover at reasonable rates.

The shorter INDAMEX loop through Suez will also allow CMA CGM to remove two ships from the service.

Sand reported that the container market is already dealing with significant overcapacity, with spot rates on major Far East routes to the U.S. East Coast and North Europe falling 57% and 53% respectively compared with last year.

He cautioned that if other carriers follow CMA CGM’s lead, capacity could “flood the market,” potentially forcing freight rates down sharply and increasing financial pressure on carriers.

Reference: xeneta