Feb 6

What Business Leaders Are Saying About the Red Sea Attacks

The Houthi attacks on commercial ships are driving up freight costs and adding delays to journeys, with some companies affected more than others.

Recent attacks on commercial ships in the Red Sea by the Iranian-backed Houthi militia have forced companies to pay higher insurance rates or reroute goods around Africa, adding costs and delays that could put a dent in companies’ profit margins and, ultimately, push up prices for consumers.

Many executives whose companies ship goods through the Red Sea and Suez Canal have said the impact so far has been limited, in part because of lessons they learned from the more severe, worldwide supply chain disruptions during the worst of the Covid pandemic.

“Moving forward, disruption will …

Source: The New York Times

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