The president and ceo Eli Glickman: “We are waiting for the insurance companies to approve our return”
Haifa – The Israeli shipping company Zim has announced a short-term return to the Suez Canal and the Red Sea. The president and ceo Eli Glickman was very clear about this possibility: “The answer is yes. We are waiting for the insurance companies to approve our return to the Red Sea, the Suez Canal, and Bab el-Mandeb. We look forward to restoring shorter routes compared to those that circumnavigate the Cape of Good Hope, and we will do so as soon as possible,” said the manager. Zim had been one of the first companies to divert routes around the Cape of Good Hope when, in November 2023, the Houthis began attacking ships linked to Israel in the Red Sea, in response to the war in Gaza between Israel and Hamas. Glickman noted that the current ceasefire in the Strip represents an encouraging signal, but he emphasized that further guarantees on its duration will be needed. “Having said that, we believe that a return to transit via Suez in the near future is increasingly likely,” added the company’s president. From an operational point of view, a return to the Suez Canal would offer a great opportunity in terms of fleet efficiency and cost reduction, but it would also entail a risk: an increase in the effective market capacity, with additional downward pressure on freight rates. Meanwhile, Zim continues to return expiring chartered ships, consistent with a prudent view of the market. So far, in 2025, the company has returned 22 units. Another three ships, equal to 5,600 teu of capacity, will be evaluated for renewal by the end of the year.
