Red Sea attacks strain Europe’s supply chains
February 2, 2024 - Cargo shipments are being disrupted by continued attacks by Houthi militants on vessels in the Red Sea, with many businesses in Europe reporting lengthening delivery times for supplies to reach their factories.
Most shipping lines have diverted away from the Red Sea since attacks by Houthi rebels started in November and are taking the much longer route around South Africa. That extends journeys by a week and increases fuel costs, insurance fees and crew wages.
UK and eurozone manufacturers said their supply chains deteriorated for the first time in a year in a sign of the wider disruption to trade caused by Red Sea attacks by Houthi militants, according to a survey by S&P Global, the FT reports.
The U.S. and Britain have launched strikes on Houthi targets in Yemen, and returned the militia to a list of terrorist groups as turmoil from the Israel-Hamas war spreads through the region.