Houthi attacks jeopardize transit through the Suez Canal, which connects the Mediterranean Sea to the Red Sea, the shortest route between Europe and Asia and through which about 12 percent of global trade is carried out.
While maritime authorities warn against navigation in the region, shipping companies continue to announce the suspension of voyages or the diversion of their ships. In a statement from the US shipping company C.H. Robinson, it was reported that more than 25 ships were diverted from the Suez Canal to the Cape of Good Hope over the past week.
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“This number is likely to continue to increase due to the ongoing risks of war in the Red Sea and the drought in the Panama Canal,” the statement said. In addition, US logistics company Flexport said that as of December 20, the company had diverted 170 ships to the south of Africa and 35 ships had stopped sailing.
This has caused major delays to most existing shipments and is expected to result in longer transit times for routes between Asia and Europe and between Asia and the east coast of the US, the statement said. On the other hand, Hapag-Lloyd, Germany’s largest container shipping company, announced that it will impose surcharges for shipments to and from the Middle East in the new year. In a statement on the company’s website, it was stated that a seasonal surcharge will be applied from January 1 for sailings from Asia and Oceania to the Red Sea region.
In the statement, it was stated that special surcharges will be applied for transportation from the region covering Egypt, Jordan, Saudi Arabia and Yemen to Asia and Oceania as of the beginning of the year, and that the new tariff will be applied to the route between India, the Middle East and North America as of January 22.
Depending on the route and the size of the container, the surcharges will range from 250 to a thousand dollars per container, the statement said. Danish shipping company Maersk previously announced additional transportation fees for containers, while French company CMA CGM announced a similar practice.
In a televised speech on November 14, Yemeni Houthi leader Abdulmalik al-Houthi threatened to target Israeli ships in the Red Sea. On November 19, Houthi military spokesman Yahya Seri announced on his X social media account that they would target any Israeli-flagged ship in response to Israel’s attacks on the blockaded Gaza Strip.
The Houthis then launched a drone and missile attack on two Israeli ships, “Unity Explorer” and “Number Nine”, in the Babu al-Mandeb Strait. On December 4, CENTCOM announced on its X social media platform that 4 attacks were carried out on 3 commercial ships in international territorial waters in the southern Red Sea.
Source: Conversation 25.12.2023
(1) Houthi attacks in the Red Sea: Disruption of shipments disrupts global trade …. https://www.bbc.com/turkce/articles/cqv1gd845g2o.
(2) $1 trillion ‘Gate of Tears’ crisis – Dünya Newspaper. https://www.dunya.com/dunya/1-trilyon-dolarlik-gozyasi-kapisi-krizi-haberi-714068.
(3) Houthis defiant: “We will not stop attacks”. https://www.ntv.com.tr/dunya/husiler-meydan-okudu-saldirilari-durdurmayacagiz,SkT_ojcw8Eag_LI-oljbiw.
