Impacts of the Red Sea crisis on global shipping

Only 52% of container ships arrive in their destination port on schedule right now. It also drives up costs: ships that take the route around the Cape of Good Hope burn an additional 100 tons of fuel per day, at a cost of 1 million US dollars per ship. Freightrates for a container from Asia to Europe consequently shot up by 220% between December 2023 and January 2024. Some carriers are now charging their customers “disruption surcharges”. If that persists, the Red Sea crisis could raise annual import price inflation by close to 5 percentage points, estimates the OECD which could add […]