Maritime traffic is expected to recover this year from the significant contraction caused by tensions in the Middle East, as stated by the President of the Suez Canal Authority (SCA), Osama Rabie, on Monday.
The attacks by Houthi rebels from Yemen on ships in the Red Sea had prompted many vessels to avoid the maritime route between Europe and Asia. However, since the ceasefire between Israel and Hamas in the Gaza Strip was established, the rebels have declared that they would no longer target Western ships. According to Osama Rabie, this will help restore the situation, although major shipping companies like Denmark’s Maersk will still need to reroute via South Africa.
The SCA President mentioned in an interview with Egyptian television that no more than 32 ships are currently passing through the Suez Canal daily. Before the war in Gaza, this number was 75. However, no giant oil tankers are currently using the route, Rabie added.
The detour taken by many ships to avoid the Suez Canal has led to significant revenue losses for the Egyptian government. According to Rabie, these losses have dropped by 60% during the current fiscal year, meaning the Canal will incur billions in losses.
