The cost of shipping crude oil by sea has soared to more than $100,000 a day in some cases, Bloomberg reported, due to ongoing disruptions in the Suez Canal and the Red Sea following repeated attacks by Houthi forces on cargo ships passing through the area.
The cost of shipping oil and refined products from the Middle East to Japan rose 3% on January 25 alone to $101,000 a day, the highest cost for the route since 2020, according to data from the Baltic Exchange in London.
A similar trend was observed for fuel tankers from the Middle East to Europe, with tanker costs on this route rising to between $97,000 and $117,000 per day, depending on the size of the vessel.
The Red Sea is one of the world's most frequently used shipping routes for oil and fuel, accounting for about 15% of global trade. (Photo: Getty Images)
The Houthis, the military force that controls much of Yemen, have been attacking and seizing cargo ships passing through the Red Sea since October 2023. The Houthis say the action is to show support for Palestinians in the Gaza Strip.
Although the US and its Western allies have deployed naval task forces to the region to protect shipping, many shipping companies have chosen to suspend their waterborne travel, instead taking the longer and more expensive route around Africa's Cape of Good Hope.
The Red Sea is one of the most frequently used sea lanes in the world for the transport of oil and fuel, accounting for about 15% of global trade.
The average global shipping cost for a 12-meter container rose 23% to $3,777 in the week ended January 18, more than double the cost a month earlier, according to an earlier Wall Street Journal report, citing data from London-based Drewry Shipping Consultants.
Many analysts warn that the Red Sea shipping crisis could trigger a new round of global inflation.
In another development, on January 27, the Houthi forces' Al-Masira TV channel reported that the US and UK carried out two airstrikes on Ras Issa port in Yemen's Hodeidah province.
The incident comes as Houthi forces have stepped up attacks on ships in the Red Sea, including an attack on the British oil tanker Marlin Luanda in the Gulf of Aden that set the ship on fire on January 26.
The Marlin Luanda oil tanker was damaged but fortunately there were no casualties.
About eight hours later, the US military destroyed a Houthi anti-ship missile as it was being directed toward the Red Sea in preparation for an attack.
Tra Khanh (Source: russian.rt.com)
Source
Comment (0)