Sandstorm at Night
With the "Ever Given" of the shipping company Evergreen Marine, one of the largest container ships in the world ran aground on Tuesday. After a sandstorm and a power outage, the ship was unmaneuverable and got stuck on the east and west banks, blocking the entire canal ever since.
Crisis for World Trade
The Suez Canal counts for 98% of maritime trade between Asia and Europe, and every third container worldwide passes through it. The accident will have catastrophic consequences for international freight traffic, with more than 200 ships now jammed at the canal, and over 50 more arriving every day - the economic damage is estimated at $400 million per hour in goods.
1869 Trade Routes once again
While tugboats and dredgers work tirelessly to clear the "Ever Given," shipping companies are calculating whether the 9-day bypass via the Cape of Good Hope is profitable. The 7,000-kilometer detour around the African continent would throw trade routes between Asia and Europe back to the pre-1869 era. For the time being, there is still hope that the blockade will soon be resolved.
Further Strains for Supply Chains
Although the impact of the accident is not expected to be felt at a short term, the markets have already reacted: oil prices are already rising and important goods are running short. Pandemic-related supply shortages will be worse and commodity prices will continue to rise.
Contingency Plan with ABRAMS.wiki
In order to have a contingency plan even in unexpected scenarios, ABRAMS world trade wiki provides strategic knowledge to react quickly. Find reliable suppliers in the event of supply shortage and counter supply chain disruption with a plan B.
ABRAMS.wiki makes a valuable contribution through maximum transparency, providing decision-makers the platform for significantly improved professionalism while optimizing sustainability at the same time.