Shipping through the Suez Canal has decreased by 66 per cent, according to Danish logistics company Maersk. This drastic drop is due to the unrest in the region, with shipping companies choosing to send their ships around Africa via the Cape of Good Hope. This is in response to increasing attacks in the Red Sea, mainly by Iran-backed Houthi rebels. These attacks are designed to support Hamas in its war with Israel.
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The disruptions have a major impact on global logistics. Maersk reports that the adjusted routes are putting pressure on infrastructure, leading to delays at ports, shortages of capacity and rising costs. As 90 per cent of all products are transported by sea, this also affects the prices of goods worldwide, including in the Netherlands. Both raw materials and finished products are becoming more expensive, which consumers feel directly in their pockets.
Maersk and other shipping companies hope that the conflict will be resolved soon, as the current situation puts a heavy strain on the global supply chain.
Source: Maersk