Five months ago, Italy’s defense minister stated that Houthi attacks were threatening Italy’s economic stability. And not only Italy. The Red Sea is a critically important route for companies that are shipping goods from Asia to Europe. It accounts for some “15% of total global sea trade.” Thanks to the Iran-backed Houthis, those goods are costing more to ship and are taking longer to arrive as the ships face attacks. Thus translates into higher prices for Western consumers.
Expect worse to come economically, not to mention the terror risk to ships, given the warning by Maersk CEO Vincent Clerc that the next few months “will be challenging for carriers and businesses alike” in light of the escalation of Red Sea security issues.
Recently, the Houthis said that they used a home-made hypersonic missile to attack an Arabian Sea ship, and they intend to target Israel with those missiles. They also warned of specifically attacking Cape of Good Hope-bound shipping, because that is where many ships have been headed in order to avoid Houthi attacks in the Red Sea.
Joe Biden’s Red Sea coalition appears weak and ineffective, as is everything the Biden administration does.
“Maersk CEO Vincent Clerc tells customers of “challenging” months ahead for carriers and shippers,” Trans Info, July 2, 2024:
Maersk CEO Vincent Clerc has told customers during an online event that the next few months “will be challenging for carriers and businesses alike” given the current Red Sea security issues are expected to continue into Q3 2024.
Like a number of other ocean carriers, Maersk is continuing to divert its ships around the Cape of Good Hope in South Africa, which Clerk has said is difficult for both carriers and shippers.
An acknowledgement of the difficulties shippers are experiencing
“We are faced with these challenges together and we need to make sure that we stay close to them as we handle the new set of circumstances that continues to unfold in front of us. These disruptions, and the impact they are having on your business, is not something that I, nor any colleagues at Maersk, take lightly. We know it is hard. We know it is difficult for you. We know it puts you under a lot of pressure,” said Vincent Clerc, CEO of A.P. Moller – Maersk.
Clerc added that the situation has extended rotations due to the longer route, necessitating two to three ships, depending on the trade in question….
Taffy says
The Navies of the world should converge on Yemen and bomb the Houthis into oblivian.
That’s a course that Grotious, in his treatise on international law, would have approved.
Stive says
Easiest way to stop the Houthis is not keep wacking ground radar that guides the missles but the Iran ship sitting there directs most missles at the ships.
Simply take out that Iran ship.
Pray Hard says
I know from personal experience that Maersk can’t deliver on time even when houthis aren’t shooting at them. I was dealing with them long before the “pandemic” and “supply chain issues” were in the news. Shipping logistics all over the Earth are an ongoing nightmare.
Sue says
If you noticed Iran has a secret ally in the Whitehouse, it appears the puppet doesn’t have a brain to call the shots concerning Israel. Who was Iran’s best friend about ten years ago. You know the one that gave Iran the okay to develop nuclear grade materials. You know the one who tried to sneak in millions of US dollars that was converted to Swiss money on a pallet to Iran. Truly the Puppet Master is really a Muslim pretending to be a Christian to further the Islamic agenda. He’s so worried about global warming that he bought a house on Martha’s Vineyard, where the Climate scare predicted his house to be under water by 2025 or was it 2035. The flood happened once and God promised the world wouldn’t be destroyed by water again, but it will by fire. You know the covenant sign God said would be a reminder of that promise. The rainbow….
࿗Infidel࿘ says
What happened to that G20 land bridge from Athens to Tel Aviv to Dubai to Mumbai? Why don’t they just start using that?
WPM says
Did not Biden say he? was going to build a Train from India across the Pacific to the west coast and America? Get the Transportation Secretary when he is off from maturity leave on that right away.
william says
Don’t expect any help from Biden. Anything that happens after he goes to bed doesn’t matter.