A 224,000-ton boat has blocked the Suez Canal in Egypt and halted one of the world’s busiest maritime trade routes with $9.6 billion of average daily cargo value, Bloomberg reports.
- The ship got stuck during a dust storm on Tuesday, with teams of tug boats and excavators now working to free the boat. Dozens of other vessels have already been gridlocked.
- Analysts say the blockage could disrupt international trade, and a two-day delay at the Suez Canal could slow down delivery of cargo to businesses across the United Kingdom and Europe.
- The incident could delay the travel time of vessels between Europe and Asia by two weeks if routes are diverted to the Cape of Good Hope, significantly increasing expenses.
- The Suez handles about 12% of global trade, with some 1 million barrels of oil passing the 120-mile canal each day. Oil prices rose 6% on Wednesday over investors’ concerns.