Is it over?

We may have finally reached the end of the crisis in the Red Sea. Iran-backed Houthi rebels have been attacking ships in the Red Sea and Gulf of Aden for over a year. It’s caused ocean freight carriers to avoid transiting the area with container ships. That has meant sailing down and around Africa instead of utilizing the Suez Canal to connect major shipping routes. Thus, more ships have been needed to move the same amount goods around the world. That increase of capacity use meant steep increases on freight rates.

In the wake of the ceasefire between Israel and Hamas, the Houthis have said they will stop attacking ships in the Red Sea area. At least non-Israel ones.

Keep reading in Universal Cargo’s blog.