SINGAPORE: Ongoing attacks on ships plying the Red Sea will likely affect global supply chains, but the immediate impact on Singapore is expected to be limited, said Defence Minister Ng Eng Hen on Tuesday (Jan 9). “Based on the current situation, the immediate impact on Singapore is expected to be limited as the majority of our critical supplies, such as food and pharmaceuticals, are delivered via air freight or do not pass through the Red Sea,” he told parliament. Local manufacturers appear to have sufficient spare inventory to hedge against supply disruptions, although they are worried about the increases in business costs, the minister added. Prior to the attacks, around 60 ships pass through the Bab al-Mandab Strait in the Red Sea daily, but the number has dropped by about a third in recent weeks. Singapore-registered ships have also been affected, with the number of daily transits through the Red Sea now approximately halved, Dr Ng said.

Source: The Guardian January 09, 2024 14:28 UTC