Two months of missile, drone and hijacking attacks against civilian ships in the Red Sea have caused the biggest diversion of international trade in decades, pushing up costs for shippers as far away as Asia and North America. The disruption is spreading, fueling fears of broader economic fallout. Repeated rounds of retaliatory strikes by the U.S. and its allies, as well as a multinational naval operation to patrol the waters, haven’t stopped the assaults by Houthi militants that followed the start of the Israel-Hamas war. With sailors demanding double pay and insurance rates skyrocketing, shipping lines are steering clear of a waterway that normally carries 12% of the world’s seaborne trade.

Source: The Times January 24, 2024 04:07 UTC