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Houthi Attacks Force Major Shipping Lines to Abandon Red Sea

Maritime insurance costs surge as cargo vessels reroute around Africa, adding billions to global trade costs.

Kashmir Rupee5 min read
Houthi Attacks Force Major Shipping Lines to Abandon Red Sea

Major global shipping lines have announced they are suspending Red Sea transit indefinitely following continued attacks by Yemen's Houthi rebels on commercial vessels.

The decision to reroute ships around Africa's Cape of Good Hope adds approximately two weeks and significant fuel costs to voyages between Asia and Europe. Container shipping rates have doubled in recent weeks.

"The security situation in the Red Sea has become untenable," said a Maersk executive. "We cannot put our crews at risk."

The attacks, which the Houthis say target ships linked to Israel, have disrupted approximately 15% of global trade. US and UK forces have conducted strikes against Houthi positions in Yemen.

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