Posted 1/15/2024, 3:06:00 PM
Yemen Conflict Threatens Vital Red Sea Trade Route, Forces Ships to Reroute and Raises Oil and Shipping Costs
- Inflation risks rising due to disruption of vital Red Sea trade route after Houthi rebel attacks
- Major shipping firms rerouting vessels around Africa's Cape of Good Hope, adding 12+ days to transit
- Brent crude oil hit $80/barrel after Western strikes on Yemen, but has since retreated to $77.75
- QatarEnergy suspended LNG shipments through Red Sea strait since Friday over security concerns
- Rerouting ships around Africa costing firms millions more in fuel monthly; uncertainty if strikes restored normal shipping levels