The Global Supply Chain at Risk: Houthi Attacks in the Red Sea

The Global Supply Chain at Risk: Houthi Attacks in the Red Sea


A container⁢ ship sails through the new section of the ⁢Suez Canal in the Egyptian port city of Ismailia, 135 kms northeast of the capital Cairo on October ⁤10, 2019.

Khaled Desouki | AFP ‍| Getty Images

Attacks by‌ Iran-backed Houthi militants on ships in the Red⁤ Sea have already rocked⁤ global trade. And there could be more disruptions and price increases to come for shipments of goods and fuel.

Several major shipping lines and oil transporters have suspended their services through the Red Sea as more than ​a dozen vessels have come under attack ⁢since the start of the Israel-Hamas war in early October.

Help appears to be on the way. U.S. Defense Secretary Lloyd Austin, who is visiting Bahrain, said ‍American forces along with the United Kingdom, Bahrain, Canada, France, Italy, Netherlands, Norway, Seychelles and⁢ Spain would create a new force to protect ‌ships in the⁣ region.

MSC, Maersk, Hapag Lloyd, CMA CGM, Yang Ming Marine Transport and Evergreen have all said they will be diverting all…

2023-12-19 05:47:01
Original from www.cnbc.com
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