Analysis of the Container Market Response to the COVID-19 Crisis, the 2021 Suez Canal Blockade and the 2024 Red Sea Crisis

Abstract

The article explores the response of the global container market to three recent large-scale crises, comparing their impact on freight rates and transit times while formulating hypotheses about the ability to protect supply chains from disruption. The crises examined are the COVID-19 pandemic, the Suez Canal blockage in 2021 and the ongoing Red Sea Crisis since 2023. The authors conducted a study that revealed a correlation between pandemic waves and increased maritime transport times, as well as a significant similarity in market reactions to crises, with freight prices rising sharply in the first 10 weeks following each crisis outbreak. The analysis suggests that despite different causes of disruptions, market mechanisms respond in a similar way, highlighting the fragility of modern supply chains. The authors emphasize the need to diversify suppliers and strengthen supply chain resilience against future crises such as armed conflicts, infrastructure disruptions or climate change.