# Cape of Good Hope reroutes likely to persist well into 2025 as industry adapts: ONE CEO | S&P Global

> Ocean Network Express CEO Jeremy Nixon said shipping lines will likely keep avoiding the Red Sea and routing via the Cape of Good Hope well into 2025. Rerouting adds about two weeks to voyages and has raised freight and insurance costs, with war risk premiums of 0.5% to 1.0% of hull value.

- Date: 2024-09-25 · published 2024-09-25T12:00:00.000Z
- Category: logistics · region Global · magnitude medium
- Page: https://feedsoft.ai/events/17004-cape-of-good-hope-reroutes-likely-to-persist-well-into-2025-as-industry-adapts
- Commodities: [Ocean Grain Freight](https://feedsoft.ai/c/OCEANFRT.md)

## Why it matters

Extended expectations for Cape routings keep freight and insurance costs elevated through 2025, supporting higher landed costs for imported feed ingredients.

## Read by commodity

- OCEANFRT: bullish ▲

## Sources

- spglobal.com: https://www.spglobal.com/energy/en/news-research/latest-news/crude-oil/092524-cape-of-good-hope-reroutes-likely-to-persist-well-into-2025-as-industry-adapts-one-ceo

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.