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Shipping giant Maersk pauses operations through Red Sea again after Houthi attack

Danish shipping giant Maersk is once again suspending operations in the Red Sea following an attack on one of its ships by Iranian-backed Houthi rebels on Sunday.

Maersk said on Tuesday. recommendation It announced it would suspend Red Sea navigation until further notice and continue to direct ships to Africa and the Cape of Good Hope.

The decision came after one of the company's vessels, Maersk Hangzhou, was targeted by Houthi militants over the weekend with an attack boat.

The United States, which patrols the Red Sea to protect commercial shipping in the region, responded to a distress call and sank three Houthi ships, killing 10 people, Houthi officials said.

Maersk said an investigation into the incident is ongoing and it is constantly monitoring the situation.

The airline suspended Red Sea crossings in December after Houthi attacks began to intensify, starting in late fall.

Maersk joined some of the world's biggest shipping and oil producers, including BP, in blocking passage through the corridor, a major trade shortcut between Europe and Asia.

The tightening of shipping is expected to impact the global economy, and rerouting ships around Africa is already driving up prices for shipping companies as it adds days to travel time.

Maersk and French company CMA CGM Group began slowly expanding again in late December, before the latest attacks by the Houthis. It is unclear what action CMA CGM Group will take in response to this attack.

The United States last month created a new maritime task force to thwart the Houthis, building on an existing framework, but the rebels have vowed to continue their attacks.

The Houthis said they were targeting ships based in Israel or heading to Israel in solidarity with the Palestinian people as Israel battles the Palestinian militant group Hamas in the Gaza Strip.

Copyright 2023 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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