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Houthi attacks on ships in the Red Sea since November 2023 have caused the biggest disruption to global trade since the Covid-19 pandemic. Most vessel operators have rerouted traffic around the Cape of Good Hope instead of using the Suez Canal.
The rerouting is longer and more expensive for Asia-Europe shipping.
Longer voyages absorb vessel capacity and keep freight rates elevated, raising the cost of moving grain and oilseeds on affected routes. Any easing of the diversion would release capacity and pressure rates lower.
bloomberg.comAlex LongleyMay 1, 2025Not enough comparable past events yet for a historical read.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
