Posted on: March 17, 2025 / Last updated: March 17, 2025

Suez Canal Disruptions and Future Moves for Forwarders

Today, I’m here to discuss news about the uncertain resumption of operations in the Suez Canal and the Houthis’ renewed attacks.

Houthis’ Renewed Attacks and Their Impact on Shipping

The Yemeni militant group, the Houthis, has announced the resumption of attacks on Israeli-affiliated merchant vessels.

Despite ongoing ceasefire negotiations between Israel and Hamas, no agreement has been reached, and the delivery of aid to Gaza has been interrupted.

As a result, the Houthis have decided to launch attacks once again.

Consequently, shipping companies have declared that, regardless of the progression of ceasefire negotiations, they will continue to avoid using the Suez Canal until the security of the Gulf of Aden is secured, opting instead for the Cape of Good Hope route.

This decision leads to delays in logistics and increased costs, significantly impacting the trade industry.

U.S. Airstrikes and Changes in International Relations

Meanwhile, the United States has announced it will continue airstrikes against the Houthis.

Notably, on March 15th, extensive airstrikes resulted in the deaths of 53 individuals and injuries to 98 others.

This is not merely a military response but also serves to apply pressure on Iran, which is believed to be behind the Houthis.

The U.S. has indicated it will maintain airstrikes until the Houthis can no longer attack merchant vessels, suggesting a high likelihood of prolonged instability.

Compared to previous maritime crises, such as during the COVID-19 pandemic when labor shortages and lockdowns were significant issues, the current situation is further complicated by the backdrop of war.

It’s characteristic that international instability is directly affecting the shipping industry, beyond just port congestion and rising transport costs.