by Red Sea attacks threaten to cut global shipping capacity 20%
Supply chain disruptions lead to delays and higher prices, experts warn
Houthi boats seize the Galaxy Leader car carrier on Nov. 20. Attacks in the Red Sea have disrupted shipping routes. (Houthi Military Media via Reuters)
KENJI ASADA and KAORI YOSHIDA, Nikkei staff writers | Middle East
NEW YORK — The series of ship attacks by Iran-backed Houthi rebels in the Red Sea could curtail global shipping capacity by 20%, according to experts, in a fresh blow to supply chains that could reignite inflationary pressures.
At least 121 containerships are already taking longer routes to avoid the Suez Canal and the Red Sea, where the Houthis have been stepping up attacks with drones and missiles since the start of the Israel-Hamas war.
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