Egypt's Suez Canal Revenues Down 40% due to Houthi Attacks

United States Navy aircraft carrier USS Dwight D. Eisenhower (CVN 69) approaches the Friendship Bridge during a Suez Canal transit in this picture taken April 2, 2021 and released by US Navy on April 3, 2021. (Reuters)
United States Navy aircraft carrier USS Dwight D. Eisenhower (CVN 69) approaches the Friendship Bridge during a Suez Canal transit in this picture taken April 2, 2021 and released by US Navy on April 3, 2021. (Reuters)
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Egypt's Suez Canal Revenues Down 40% due to Houthi Attacks

United States Navy aircraft carrier USS Dwight D. Eisenhower (CVN 69) approaches the Friendship Bridge during a Suez Canal transit in this picture taken April 2, 2021 and released by US Navy on April 3, 2021. (Reuters)
United States Navy aircraft carrier USS Dwight D. Eisenhower (CVN 69) approaches the Friendship Bridge during a Suez Canal transit in this picture taken April 2, 2021 and released by US Navy on April 3, 2021. (Reuters)

Dollar revenues from Egypt's Suez Canal are down 40% from the beginning of the year compared to 2023, canal authority head Osama Rabie said on Thursday, after attacks on ships by Yemen's Houthis caused major shippers to divert away from the route.

Ship traffic was down 30% in the period between Jan. 1 and Jan. 11 compared to a year prior, Rabie said, speaking on a late night talk show.

The number of vessels to pass through the Suez Canal dropped to 544 so far this year, from 777 in the equivalent period of 2023, Reuters quoted Rabie saying.

Yemen's Iran-aligned Houthis have been attacking commercial vessels in the Red Sea for weeks to show support for Palestinian group Hamas in its fight against Israel.

Many commercial shippers have diverted vessels to other routes. The United States announced last month a new international mission to patrol the Red Sea and deter attacks.

Rabie said only ships that had to proceed promptly with their journey had diverted around the Cape of Good Hope, and that others were waiting for the situation to stabilise.

The security concern to shippers could not be overcome with discounts or other incentives offered by the canal, he said.

"A very large portion of the goods will return (to the Canal) once this matter is finished," he said, in reference to the Houthi attacks.



South Korea Seeks to Resolve Any ‘Misunderstanding’ with US about Tariff Rates 

South Korea's acting President and Deputy Prime Minister Choi Sang-mok speaks during the 106th Independence Movement Day ceremony at Soongeui Women's University in Seoul on March 1, 2025. (AFP)
South Korea's acting President and Deputy Prime Minister Choi Sang-mok speaks during the 106th Independence Movement Day ceremony at Soongeui Women's University in Seoul on March 1, 2025. (AFP)
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South Korea Seeks to Resolve Any ‘Misunderstanding’ with US about Tariff Rates 

South Korea's acting President and Deputy Prime Minister Choi Sang-mok speaks during the 106th Independence Movement Day ceremony at Soongeui Women's University in Seoul on March 1, 2025. (AFP)
South Korea's acting President and Deputy Prime Minister Choi Sang-mok speaks during the 106th Independence Movement Day ceremony at Soongeui Women's University in Seoul on March 1, 2025. (AFP)

South Korea's acting president on Monday ordered authorities to actively communicate with the US administration to resolve any misunderstanding over tariffs, after US President Donald Trump recently singled out South Korea for applying high tariffs.

Trump, who has told his economic team to prepare reciprocal tariff plans by early April, said last week during an address to the US Congress that South Korea's average tariff was four times higher than that of the United States, despite military and other assistance Washington has provided to its Asian ally.

Acting President Choi Sang-mok "ordered to actively explain to the US about any misunderstanding of our tariff rates on US imports," the finance ministry said in a statement.

South Korea imposes the second-highest tariff rate among the top 15 US trading partners after India, but for US imports, nearly all tariffs are eliminated under their free trade agreement first signed in 2007 and revised in 2018 during Trump's first term.

As of 2024, South Korea's effective tariff rate on US imports stood at 0.79%, according to Seoul's trade ministry.

Choi said the government would also review non-tariff measures, which Trump said would be considered in his reciprocal tariff plan.

The acting president asked South Korean officials to prepare for consultations with the US on cooperation in the shipbuilding and energy sectors.

Trump had said during his speech that Japan, South Korea and other countries wanted to partner on a natural gas pipeline in Alaska.

South Korea's industry ministry has said the country would "actively engage" in discussions with the US on the project, though said no details had been decided.