Recently, a new container liner company called Folk Maritime emerged. The new shipping company is headed by former Hamburg Süd CEO Poul Hestbæk, who was forced to leave Maersk in August last year. The Riyadh-based new shipping company Folk Maritime defines itself as Saudi Arabia’s first dedicated feeder operator. The company’s main business is to connect Saudi Arabia with other major ports on the Red Sea. Led by veteran Poul Hestbæk, Folk Maritime aims to lead Saudi Arabia into becoming an important global logistics center in the future and ultimately revolutionize the shipping landscape in Saudi Arabia.
Hestbæk, CEO of Folk Maritime, has been working at Hamburg Süd for more than ten years and was promoted to CEO of Hamburg Süd in 2021. However, the successful integration of the Hamburg Süd brand with Maersk came to an end in August last year, and Hestbæk left Hamburg Süd shortly thereafter. The establishment of Folk Maritime can be said to be an important milestone in Saudi Arabia’s plan to build itself into a global logistics center. The company will strategically focus on feeder and short-haul shipping and is preparing to strengthen connectivity between Saudi ports and ports along the Red Sea coast. Saudi Arabia has ambitions to use its strategic location to become a globally connected logistics hub, making the kingdom a core for multiple industries including shipping. This is a huge strategic plan and layout of the company, which will allow several regions to be connected in the future. If it succeeds as planned, Folk Maritime’s position in the market will be more solid and its recognition will be even higher.
Folk Maritime’s operations will begin with services on two main routes, with a focus on strengthening maritime connections within the Red Sea. The first route, North Red Sea Service, is operated by two 2,500 TEU feeder ships and provides weekly services, connecting the port of Jeddah with ports in Saudi Arabia and Egypt. The second route is Port Sudan Service, which is operated by a 700Teu container ship and connects to Sudan every two weeks. By deploying these specialized vessels and routes, Folk Maritime fills a critical gap in the market and is expected to provide more frequent and direct shipping routes, significantly reducing transit time and costs for businesses in the region. If efficiency can be improved as a result, it will have a driving effect on shipping in surrounding areas. The emergence of this container shipping company is also a signal to the market that it will pay more attention to efficiency and cost in the future.
