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Since November 2023, the Houthis, based in Yemen, have launched attacks on ships traversing the Red Sea.
The Houthis say their actions are in solidarity with the Palestinians, who are caught in the Hamas-Israel war.
This has disrupted trade through the critical waterway that connects Asia and Europe.
Companies are re-routing their ships to avoid the Suez Canal, opting instead for the longer route around the Cape of Good Hope, the southern tip of Africa.
The Suez Canal handled 12%-15% of global trade in 2023.
According to a UNCTAD report, the container tonnage crossing the canal fell by 82% in the first half of February this year.
On the other hand, container tonnage passing around the Cape of Good Hope increased by 60% in the same period.
About 621 container ships were rerouted around the Cape of Good Hope by February 18, since the start of the attack.
Suez Canal, Panama Canal
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