Was Suez Canal affected by Red Sea tension in November?

ISTANBUL

The ongoing tension in the Red Sea was expected to take a toll on the maritime movement in Egypt’s Suez Canal amid threats by Yemen’s Houthi group to target Israel-affiliated vessels, especially near Bab al-Mandab Strait.

However, according to recent official data released by the Suez Canal Authority, 2,264 ships crossed the waterway in both directions in November 2023, compared to 2,171 ships during November last year, reflecting a 4.3% increase.

The data revealed that 135.5 million tons of material were transferred compared to 125.2 million tons during November last year, marking an increase of 8.2%.

On the other hand, Suez Canal revenues grew in November by 20.3% with $854.7 million, compared to $710.3 million during the same period last year.

On Sunday, Yemen’s Houthi group said that it targeted two Israeli ships in the Bab al-Mandab Strait in the Red Sea with a naval missile and a drone.

The Pentagon also announced on Sunday that a US warship and several merchant vessels have been attacked in the Red Sea.

On Nov. 19, the Houthis announced the seizure of the Galaxy Leader cargo ship, co-owned by an Israeli company.

The group said the move came in solidarity with “the Palestinian resistance in the Gaza Strip.”

The latest tension prompted Israeli shipping company ZIM to announce on Wednesday the diversion of its ships from the Egyptian Suez Canal.

Cost of shipping

Meanwhile, international maritime companies are awaiting any breakthrough developments in shipping traffic through the Red Sea, at a time when data for shipping companies showed an increase in the cost of securing ships crossing the canal.

The Suez Canal, which is considered one of the most important waterways around the world, is the shortest shipping route between Europe and Asia and is one of the main sources of foreign currency for Egypt.

Last June, Chairman of the Suez Canal Authority, Osama Rabie, said that in the fiscal year ending on June 30, 2023, the canal achieved revenues worth $9.4 billion, an increase of 35% over the previous fiscal year.

Israel launched relentless air and ground attacks on the Gaza Strip following a cross-border attack by Palestinian group Hamas on Oct. 7.

The death toll from Israeli attacks on the Gaza Strip since the start of the conflict is nearly 15,900, the Health Ministry in the besieged Palestinian enclave said on Monday.

The number of wounded through the same period has risen to more than 42,000.

The official Israeli death toll stands at 1,200.

*Writing by Mahmoud Barakat