Business World

Shipping industry in the dark over US-led Red Sea navy force

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LONDON — Shipping companies remain in the dark over a new internatio­nal navy coalition being assembled by the United States to combat attacks in the Red Sea, with many vessels continuing to avoid the area or cancelling contracts, sources said on Wednesday.

The sources, who include shipping and maritime security officials, say few practical details are known about the initiative launched on Tuesday by Washington or whether it will directly engage in the event of further armed attacks at sea.

Iran-backed Houthi militants in Yemen have since Nov. 19 stepped up attacks on vessels in the Red Sea to show support for Hamas as Israel’s military offensive in Gaza continues.

Their leader said on Wednesday the group would strike US warships if it is targeted by Washington.

Houthi fighters have fired missiles and launched seaborne assaults on ships from fast boats. Missiles fired have been repelled by US warships.

“There are still a number of unknowns with the coalition. We don’t know exactly how many warships will be involved, how long it will take those vessels to get to the region, or their rules of engagement and the actual protection scheme that will be put in place,” said Corey Ranslem, chief executive of British maritime risk advisory and security company Dryad Global.

“Globally this is a fairly small area, however providing protection to commercial vessels in this region could be a major undertakin­g depending on the number of vessels along with any changes to the Houthi tactics.”

On Nov. 19, Houthi commandos landed on car carrier Galaxy Leader by helicopter and took it back to Yemen’s northern Hodeidah port. The vessel and its crew are still being held.

The attacks have disrupted a key trade route that links Europe and North America with Asia via the Suez Canal and caused container shipping costs to rise sharply as companies seek to ship their goods via alternativ­e, often longer, routes.

Dryad’s Mr. Ranslem said the threat to commercial shipping was likely to continue as the war goes on.

“A number of global shipping companies are diverting around Africa or completely pausing operations within this region. If the coalition efforts are not effective we expect more shipping companies to divert around the Cape,” he said.

Traffic through the narrow Bab al-Mandab strait connecting the Red Sea and the Gulf of Aden fell by 14% in the Dec. 15-19 period compared with Dec. 8-12, according to data from AIS ship tracking and maritime analytics provider MarineTraf­fic.

US Secretary of Defense Lloyd Austin, on a visit this week to Bahrain, home to the US Navy’s headquarte­rs in the Middle East, said Bahrain, Britain, Canada, France, Italy, the Netherland­s, Norway, Seychelles and Spain were among nations involved in the Red Sea security operation.

The group will conduct joint patrols in the southern Red Sea and the adjacent Gulf of Aden.

The Internatio­nal Chamber of Shipping said it expected the new task force to enable a “coordinate­d effort across a large number of military warships that will provide a significan­t suppressiv­e response.” —

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