Egypt’s Suez Canal Authority Monitors Impacts Of Red Sea Military Tensions

Cairo,

Egypt's Suez Canal Authority (SCA) is closely monitoring the effects of military tensions in the Red Sea following concerns about safety, leading major carriers to explore alternative routes. SCA Chairman Osama Rabie assured that maritime traffic remains normal in the Suez Canal, connecting the Mediterranean and the Red Sea. Rabie stated that the SCA is actively assessing the impact of shipping lines temporarily diverting their routes to the Cape of Good Hope. In response to attacks from Yemen's Houthi militia on commercial vessels in the Red Sea, several major freight firms have reduced or suspended passage through the area. Despite some shipping lines rerouting via the Cape of Good Hope since November 19, Rabie emphasized that the Suez Canal remains the fastest and shortest route for vessels transiting between Asia and Europe. He highlighted that only 55 ships chose the alternative route, compared to 2,128 ships passing through the Suez Canal during the same period. On Sunday, 77 ships, including those belonging to shipping lines that announced temporary diversions, crossed the Suez Canal. Rabie reaffirmed that the canal's time-saving advantages range from nine days to two weeks, depending on the ports of departure and arrival. The decision by major carriers, including Maersk, MSC, CMA CGM, and Hapag-Lloyd, to avoid the Red Sea due to security concerns may impact global supply chains. The Houthi militia, backed by Iran, has claimed responsibility for missile attacks and incidents targeting commercial ships in the Red Sea, prompting heightened security measures in the region. The Suez Canal, a vital waterway accounting for 12% of global trade, continues to be a crucial source of foreign currency for Egypt.