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Export Hopes Sink as Maersk scraps direct US link - The Herald - Monday 11 August
Abstract from the Herald
"Nelson Mandela Bay businesses already reeling from the US tariffs are now facing a second blow as shipping giant Maersk has announced it will discontinue its direct SA-US route. The container logistics company announced that from October 1, it would transition to a transshipment model, rerouting goods through European Hubs. Under the new system, shipments will be offloaded in European ports and rerouting goods through European hubs. Under the new system, shipments will be offloaded in European hubs. Under the new system, shipments will be offloaded from European ports and reloaded onto other vessels before heading to the US-a change that is expected to delay deliveries and increase costs for exporters. This comes as Maersk withdraws from the AMEX service agreement, which it jointly operated with the Mediterranean Shipping Company (MSC) for direct shipments to the US. Despite MSC having announced in May that it would increase the number of vessels dedicated to the route, exporters said they expected an increase in costs and disruptions, which could hurt operations. The exit of MEARSK will be another hit for local firm ROVD Engineering, which recently halted expansions plans due to the US tariffs. It has already lost hundreds of millions of rands in confirmed and near-finalized export contracts, with major US clients withdrawing due to sudden costs escalations and trade uncertainty. ROVD business development head Athi Luphondwana said that this has placed their oversized industrial shipments at constant risk of delay."
More Background
Maersk’s decision to end direct SA–US shipments from October 1, 2025, compounds the challenges posed by US tariffs for Nelson Mandela Bay businesses. For ROVD Engineering, the increased costs and delays from transshipment threaten its oversized industrial shipments, risking further contract losses and operational setbacks. While MSC’s expanded service offers some relief, the region’s export sector faces heightened costs, longer lead times, and reduced competitiveness. Urgent action—through diversified markets, logistics planning, and policy advocacy—is needed to mitigate the impact and safeguard Nelson Mandela Bay’s economic stability
Prayer Requests
1. For Provision and Economic Stability
Scripture: Philippians 4:19 (NIV) – “And my God will meet all your needs according to the riches of his glory in Christ Jesus.”
Prayer: Heavenly Father, we lift up the businesses of Nelson Mandela Bay, especially ROVD Engineering, as they face financial strain from increased tariffs and shipping costs. Lord, You are the Provider of all needs. We ask that You supply wisdom, resources, and new opportunities to sustain these businesses. Grant them favour with clients and partners, and provide pathways to overcome economic challenges, trusting in Your abundant provision. Amen.
2. For Wisdom in Decision-Making
Scripture: James 1:5 (NIV) – “If any of you lacks wisdom, you should ask God, who gives generously to all without finding fault, and it will be given to you.”
Prayer: Lord, we pray for the leaders of ROVD Engineering and other affected businesses, including Athi Luphondwana and his team. Grant them divine wisdom to navigate the disruptions caused by Maersk’s transshipment model and US trade policies. Guide their strategic decisions—whether diversifying markets, adjusting logistics, or seeking new partnerships—so they may find stability and growth in uncertain times. Amen.
3. For Favor and New Opportunities
Scripture: Psalm 90:17 (NIV) – “May the favor of the Lord our God rest on us; establish the work of our hands for us—yes, establish the work of our hands.”
Prayer: Father, we seek Your favor for Nelson Mandela Bay’s exporters, particularly ROVD Engineering, as they face trade uncertainties and logistical hurdles. Open new markets, restore lost contracts, and bring forth partnerships that will establish the work of their hands. Let Your favor rest upon them, turning challenges into opportunities for growth and resilience. Amen.
4. For Peace Amid Uncertainty
Scripture: John 16:33 (NIV) – “I have told you these things, so that in me you may have peace. In this world you will have trouble. But take heart! I have overcome the world.”
Prayer: Lord Jesus, we bring before You the anxieties and uncertainties faced by Nelson Mandela Bay’s business community. Grant them Your peace that surpasses understanding as they navigate trade tensions and supply chain disruptions. Remind them that You have overcome the world, and let their hearts find rest in Your promises, trusting You to guide them through this storm. Amen.
5. For Community and National Support
Scripture: Ecclesiastes 4:9-10 (NIV) – “Two are better than one, because they have a good return for their labor: If either of them falls down, one can help the other up.”
Prayer: Almighty God, we pray for unity and support within Nelson Mandela Bay and across South Africa. Inspire trade organizations, government leaders, and the maritime industry to work together to address the challenges posed by Maersk’s withdrawal and US tariffs. Raise up advocates and solutions to strengthen the region’s economy, helping businesses like ROVD Engineering to stand firm together. Amen.
Prayer
Heavenly Father, we lift up Nelson Mandela Bay businesses, especially ROVD Engineering, facing challenges from US tariffs and Maersk’s shipping changes. Provide for their needs, grant wisdom to navigate disruptions, and renew their strength. Bestow Your favor for new opportunities, peace amid uncertainty, and unity for community support. Guide them through these trials, trusting in Your abundant provision. Amen.
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