Traffic in Suez Canal Resumes after Stranded Ship Refloated

This satellite imagery released by Maxar Technologies shows the MV Ever Given container ship in the Suez Canal on the morning of March 28, 2021. (Satellite image ©2021 Maxar Technologies/AFP)
This satellite imagery released by Maxar Technologies shows the MV Ever Given container ship in the Suez Canal on the morning of March 28, 2021. (Satellite image ©2021 Maxar Technologies/AFP)
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Traffic in Suez Canal Resumes after Stranded Ship Refloated

This satellite imagery released by Maxar Technologies shows the MV Ever Given container ship in the Suez Canal on the morning of March 28, 2021. (Satellite image ©2021 Maxar Technologies/AFP)
This satellite imagery released by Maxar Technologies shows the MV Ever Given container ship in the Suez Canal on the morning of March 28, 2021. (Satellite image ©2021 Maxar Technologies/AFP)

Egypt’s Suez Canal will reopen for shipping traffic in both directions on Monday evening after a giant container ship which had been blocking the busy waterway for almost a week was refloated, with more than 400 ships waiting to pass through.

The Suez Canal Authority’s chairman Osama Rabie said the channel was navigable after the 400-meter (430-yard) long vessel Ever Given was freed undamaged earlier on Monday.

“The ship came out intact and it has no problems. We’ve just searched the bottom and soil of the Suez Canal and thankfully it is sound and has no issues, and ships will pass through it today,” he told Nile TV.

The authority informed shipping agencies that convoys of ships will resume running both ways through the canal from 7 pm (1700 GMT), two agents told Reuters.

The Ever Given had become jammed diagonally across a southern section of the canal in high winds early last Tuesday, halting traffic on the shortest shipping route between Europe and Asia.

Live footage on a local television station showed the ship surrounded by tug boats moving slowly in the center of the canal on Monday afternoon. The station, ExtraNews, said the ship was moving at a speed of 1.5 knots.

After dredging and excavation work over the weekend, rescue workers from the SCA and a team from Dutch firm Smit Salvage had succeeded in partially refloating the ship earlier on Monday.

“The time pressure to complete this operation was evident and unprecedented,” said Peter Berdowski, CEO of Smit Salvage owner Boskalis, after the Ever Given was refloated.

The company said approximately 30,000 cubic meters of sand was dredged to refloat the 224,000-ton container ship and a total of 11 tugs and two powerful sea tugs were used to pull the ship off.

Evergreen Line, which is leasing the Ever Given, confirmed the ship had been successfully refloated and said it would be repositioned in a lake that sits between two sections of the canal and inspected for seaworthiness.

Bernhard Schulte Shipmanagement (BSM), the technical managers of the container ship, said there were no reports of pollution or cargo damage.

Queue
At least 400 vessels are waiting to transit the canal, including dozens of container ships, bulk carriers, oil tankers and liquefied natural gas (LNG) or liquefied petroleum gas (LPG) vessels, Nile TV reported.

The authority said earlier it would be able to accelerate convoys through the canal once the Ever Given was freed. “We will not waste one second,” Rabie told Egyptian state TV.

He said it could take up to three days to clear the backlog, and a canal source said more than 100 ships would be able to enter the channel daily. Shipping group Maersk said the knock-on disruptions to global shipping could take weeks or months to unravel.

Egyptian President Abdel Fattah al-Sisi, who had not publicly commented on the blockage, said Egypt had ended the crisis and assured resumption of trade through the canal.

Oil prices were more than 1 percent lower at $63.85 a barrel after the ship was refloated. Shares of Taiwan-listed Evergreen Marine Corp had closed 1.75% higher.

About 15% of world shipping traffic transits the Suez Canal, which is an important source of foreign currency revenue for Egypt. The stoppage was costing the canal $14-15 million a day.

Shipping rates for oil product tankers nearly doubled after the ship became stranded, and the blockage has disrupted global supply chains, threatening costly delays for companies already dealing with COVID-19 restrictions.

Maersk was among shippers rerouting cargoes around the Cape of Good Hope, adding up to two weeks to journeys and extra fuel costs.



Muted Responses to Deadly Houthi Escalation and Rising Insurance Costs

The Greek ship Magic Seas sank in the Red Sea as a result of Houthi attacks (Reuters). 
The Greek ship Magic Seas sank in the Red Sea as a result of Houthi attacks (Reuters). 
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Muted Responses to Deadly Houthi Escalation and Rising Insurance Costs

The Greek ship Magic Seas sank in the Red Sea as a result of Houthi attacks (Reuters). 
The Greek ship Magic Seas sank in the Red Sea as a result of Houthi attacks (Reuters). 

As the Houthi threat to international shipping grows ever more serious - most recently with the sinking of two Greek vessels, killing three sailors and leaving twelve missing - there has been little substantial reaction from major world powers. The United States, Germany’s foreign minister, and the UN envoy to Yemen were among the few to voice concern and call for de-escalation.

While Houthi attacks intensify across the Red Sea and the Arabian Sea, insurance premiums for commercial ships in these waters have surged to as much as 1% of a vessel’s value, according to leading global insurers. This underscores the scale of the risk and the declining confidence in protecting this vital maritime corridor.

The two assaults targeted the cargo ships Magic Seas and True Confidence between Sunday and Tuesday last week. According to the EU naval mission Aspides, tasked with safeguarding Red Sea navigation, the attacks killed at least three sailors, wounded others, and left a dozen unaccounted for.

The strike on the Liberian-flagged Greek-operated True Confidence marked a dangerous escalation. The Houthis claimed responsibility, saying they used an explosive-laden drone boat and six ballistic and cruise missiles. They alleged the ship was heading to Israel’s port of Eilat, though independent verification was lacking.

Despite the scale of the violence, most global capitals limited their responses to brief statements. Only the US ambassador to the UN issued a pointed condemnation, along with remarks from a State Department spokesperson and a statement by UN envoy Hans Grundberg.

The US denounced the attacks as “terrorist and unjustified,” describing them as evidence of the “ongoing threat posed by Iranian-backed Houthis to regional maritime security and commerce.” The US ambassador stressed Washington’s commitment to denying the Houthis resources to fund such operations and called on the UN Security Council to remove obstacles blocking its expert monitoring teams in Yemen.

The State Department likewise condemned the attacks as a threat to the freedom of navigation and economic stability. “We will continue to take necessary steps to protect commercial shipping,” the statement warned, urging the broader international community to condemn the Houthis’ actions.

Germany’s Foreign Minister Johann Wadephul said Iran must use its influence to halt Houthi attacks. Speaking in Vienna alongside his Israeli and Austrian counterparts, he declared: “We strongly condemn these attacks and expect Iran to act to stop them.”

UN envoy Grundberg expressed deep concern about the sinking of True Confidence, warning of the humanitarian and environmental consequences of such operations, which violate international law and Security Council Resolution 2722. He urged the Houthis to provide sustainable guarantees to end attacks and build on prior understandings with the United States.

Oman had brokered a limited agreement last May under which the Houthis pledged to stop targeting American ships in return for a suspension of broad US-led military action - though the deal excluded Israel.

A Dangerous Precedent

Yemeni officials say the tepid reactions from much of the world send the Houthis the wrong message, reinforcing their sense of impunity. On Thursday, Houthi leader Abdul Malik al-Houthi boasted in his weekly address about sinking the vessels, calling it a “clear lesson” to any shipping company doing business with Israel.

Since November 2023, the Houthis have carried out over 150 attacks, disrupting global trade flows through the Red Sea. Their operations have sunk British and Greek ships and damaged many more, including hijacking the Galaxy Leader and holding its crew for over a year.