COSCO restores Far East–Red Sea loop

COSCO restores Far East–Red Sea loop

COSCO is restoring direct Far East Red Sea container capacity. The revived RES4 rotation reconnects four Chinese ports with Sokhna, with Jeddah due to join from the second voyage.


IN Brief:

  • COSCO has assigned the 4,738 TEU Xin Hui Zhou to the revived RES4 Far East–Red Sea service.
  • The rotation connects Shanghai, Ningbo, Xiamen, and Nansha with Sokhna, with Jeddah planned from the second voyage.
  • The service adds direct Red Sea capacity while carriers continue to restore Suez-linked routes selectively.

COSCO Shipping Lines is restoring direct Far East–Red Sea container capacity through its RES4 service, putting a 4,738 TEU vessel back through Bab el-Mandeb after more than two years without a COSCO-operated ship on the passage.

The revived rotation connects Shanghai, Ningbo, Xiamen, and Nansha with Sokhna in Egypt before returning to China. COSCO has assigned Xin Hui Zhou to the service, while Jeddah is due to join the rotation from the second voyage. The schedule was launched in late July, with the vessel moving westbound towards the Red Sea during August.

Direct operation changes the network economics compared with serving Red Sea markets through transhipment or longer routings. A vessel crossing Bab el-Mandeb can reach Egyptian and Saudi ports without the additional distance created by a Cape of Good Hope diversion, reducing voyage time and the amount of ship capacity tied up in each round trip.

COSCO has continued serving Red Sea cargo through other arrangements during the security disruption, so RES4 is not a return from complete absence. The significant change is the deployment of a COSCO-operated container ship on a scheduled loop through the southern Red Sea again, creating a more direct product for cargo moving between China and the region.

The decision comes as other carriers are restoring selected Suez-linked services rather than switching entire networks at once. Maersk and Hapag-Lloyd have already shifted the AE19 Gemini service back through Suez, while other operators continue to mix Red Sea transits with Cape routings according to service, vessel, and security assessment.

That patchwork creates different lead-time profiles within the same broad trade. A China–Europe or China–Middle East booking can now follow materially different routes depending on the individual service selected, even where the carrier or alliance remains the same. Procurement teams therefore have to compare service strings and actual vessel routings rather than assuming one network-wide transit pattern.

Security remains the principal constraint on a wider return. Commercial shipping in the southern Red Sea has faced attacks, warnings, and rapidly changing operating conditions since the current disruption began. A shorter route has obvious fuel and capacity advantages, but those gains only hold while the carrier considers the passage sufficiently safe and insurable for crews, vessels, and cargo.

Schedule reliability is the second test. Restoring a shorter rotation can release effective fleet capacity because ships complete a round voyage more quickly, but a service that is repeatedly delayed, rerouted, or suspended can create a different kind of cost through missed connections and uncertain arrival windows. Importers may need less ocean transit time while still carrying contingency stock against route volatility.

Equipment positioning also improves when the same container completes its round trip sooner. Cape diversions have lengthened container cycles alongside vessel cycles, leaving boxes out of position for longer and tightening equipment availability in some Asian and European markets. Selective Suez and Red Sea returns can reduce that drag without requiring carriers to add the same amount of new equipment.

RES4 is being rebuilt in stages. Sokhna is the initial Red Sea call, with Jeddah scheduled to follow from the second voyage rather than being included immediately. That limits the first rotation while giving COSCO a route that can be expanded if operating conditions remain acceptable.

The phased structure also makes the service easier to adjust if security deteriorates. Reinstating a single loop is operationally simpler than reworking a large set of East–West services at once, particularly when vessels and containers have been positioned around Cape schedules for an extended period.

Shippers using the route will still need to treat published transit times as conditional. The planned sequence is clear, but live vessel arrival estimates can move as the voyage develops, and the wider Red Sea security situation remains capable of changing faster than an annual freight contract. Booking decisions will depend on the value of the time saving relative to the cost of that uncertainty.

COSCO’s move adds another piece of scheduled capacity to a corridor that carriers are testing cautiously rather than reopening wholesale. If RES4 settles into repeatable sailings and the Jeddah call is added as planned, the service will provide stronger evidence that Red Sea capacity is moving from occasional re-entry towards a more durable operating pattern. Until then, the carrier has restored a useful shortcut without removing the risk that made the shortcut unavailable in the first place.


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