Red Sea Tanker Traffic Falls Sharply amid MidEast Tension

January 9, 2024/in /by Rudolf Huber

This is one of the major life arteries of world trade so choking this changes global trading patterns. Stuff that is being made in one basin may already stay in that basin. And stuff that goes to other basins will go on bigger ships that are way more automated to bring costs down. But most importantly, global trade has received a couple of black eyes from COVID and its fallout. The debt bubble is hanging over us plus a lot of movement towards sustainability which means “in-country-production” of essential goods. The Red Sea problem will be dealt with – maybe by an Egyptian intervention in Yemen. But the underlying remains.

A steep decline in the number of tankers suggests that attacks on ships in the area are further disrupting a key artery of global trade.

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