Concerns are growing on the Red Sea conflict's impact on global shipping amid a sustained U.S. military offensive and Houthi rebels threat to continue attacks, according to Newsweek World
Amira El-Fekki of Newsweek World wrote: The Red Sea, a route for nearly 30 percent of global container traffic and vital oil shipments from the Gulf to Europe and the United States, is facing a growing risk of disruption due to attacks by Houthi rebels in Yemen. These attacks have increased freight and insurance costs, forcing ships to reroute.
In response, the U.S. has launched airstrikes against Houthi forces to protect naval assets and ensure the safety of commercial shipping in the region.
El-Fekki mentioned that by 2024, the Red Sea faced an unprecedented shipping crisis and a decline in traffic. By March 2024, traffic through the Suez Canal and Bab el-Mandeb Strait had halved, while shipping via the Cape of Good Hope surged by 100 percent, according to a World Bank report.
The Bab el-Mandeb Strait, located at the southern entrance of the Red Sea, is a chokepoint for global oil shipments, particularly for crude oil traveling from the Gulf to Europe and the Americas.
The Suez Canal, which accounts for approximately 10 to 12 percent of global maritime trade, saw a 50 percent decline in trade volume in early 2024 compared to the previous year, to the International Monetary Fund (IMF) observed. The disruption impacted global supply chains, driving up shipping costs and delivery times.
El-Fekki concluded that Traffic had risen back again, but has come under new threat as the Houthis have said they will launch new attacks since Israel resumed its offensive against Hamas in the Gaza Strip, adding that Chief Pentagon Spokesman Sean Parnell: "The Houthis could stop this tomorrow if they [agree] to stop shooting at [our] people. But they've clearly chosen not to do that. And so, this campaign will be relentless to degrade their capability and to open up shipping lanes in the region and to defend our homeland."