Ships being rerouted to Suez Canal

Egypt's Suez Canal Authority chairman Osama Rabei said on Sunday that 47 ships have been rerouted from Cape of Good Hope to Suez Canal since the start of February, reports Reuters.

Earlier this month, Rabie said that the Red Sea crisis did not create a sustainable alternative route to the canal and that there were positive indicators for the return of stability in the region.

Houthi militants have attacked vessels in the Red Sea area since November 2023, disrupting global shipping by forcing vessels to avoid the nearby Suez Canal and reroute trade around Africa, raising shipping costs.

A point worth noting is that Houthis had decaled to target ships owned by Israel and ships carrying cargo to and from Israel. US ships came under attack after Yemeni ports and other installation came under US attack.

Egyptian President Abdel Fattah al-Sisi said in December the disruption cost Egypt around US$7 billion in less revenue from the Suez Canal in 2024.