China takes the Arctic Route: First ship set to arrive in Europe via the Northeast Passage

The Europe #Arctic Express and could revolutionize European trade, shortening the distance between #China and #Europe by ten days (it takes 18 days via the Arctic, compared to about 30 using the Suez Canal).

The ship will set sail with 5,000 containers from the port of Qingdao, opposite North Korea, and then dock in Europe at the ports of Felixstowe in Great Britain, Rotterdam, Hamburg, and Gdansk. A stable flow of ships through this new route would render the ports of the Mediterranean marginal. This revolution was made possible by climate change. The shrinking of the polar ice cap is significantly accelerating the melting of the ice, which in those latitudes is occurring at a rate of 12 percent every ten years. It is only “thanks” to this that one can today speak of a “Northwest Passage.” In recent years, Russian and Chinese container ships have mainly navigated the Arctic route.

According to Norway’s Centre for High North Logistics (CHNL), between the beginning of June and the end of August, approximately 52 Russian or Chinese ships transited through this route, mainly loaded with Russian oil for export.

President Trump demands free passage through Panama, Suez Canals for US ships

President Donald Trump has called for free passage through the #Panama and #Suez Canals for American warships and merchant ships.

"American Ships, both Military and Commercial, should be allowed to travel, free of charge, through the Panama and Suez Canals! Those Canals would not exist without the United States of America. I’ve asked Secretary of State Marco Rubio to immediately take care of, and memorialize, this situation!"

WORLD SHIPPING: The world pays and stays silent - WHY?

It may be a bit pushed out of the headlines but what is happening in the Red Sea is dramatic and the most significant impact on the global economy of the war in Gaza.

A senior official at an American consulting company explains that in view of the fact that 30% of global container traffic normally passes through the Suez Canal, the Red Sea crisis has a huge impact on global supply chains.

The Houthi attacks on cargo ships resulted in an almost fivefold increase in the cost of shipping between Asia and Europe. This is estimated to fuel global inflation by adding up to 0.7% to the cost of the global economy's "core commodities".

The best alternative routes add to the voyages thousands of kilometers, over 10 days (between Asia and Europe) and hundreds of thousands of dollars in fuel costs for each such journey at sea. "Given the global nature of our economy, few companies or industries are immune to the impact.
The increased cost of raw materials and supplies, longer delivery times, production delays and distribution challenges will affect the entire manufacturing sector long after the crisis is over," he wrote.

The world seems to have come to terms with this reality...

Suez Canal revenues down nearly 50% due to crisis in Red Sea, says Egyptian president

The Suez Canal’s revenues dropped by at least 40-50% amid the recent developments in the Red Sea, President of Egypt Abdel Fattah al-Sisi said. "The situation in the Gaza Strip and events related to it affect Egypt as well. In particular, previously the Suez Canal brought in some $10 bln per day, and now we register a decrease in revenues by 40-50%," he said at the opening of EGYPES-2024 (Egypt Energy Show), adding that despite this, Egypt "still tries to meet its obligations to partners" in various sectors.

On January 16, Chairman of the Suez Canal Authority Osama Rabie also noted that the Suez Canal’s revenues were falling. In the first half of January the canal’s revenues fell by 41% year-on-year, while the number of vessels passing through the Suez Canal went down by 30% compared with the same period last year, with their tonnage having decreased by 41%. Egypt’s revenues from the Suez Canal exceeded $10 bln last year. The canal is one of the Egyptian government’s biggest cash cows and helps the country boost its dollar reserves.

New Attacks by the Coalition and the Houthis in the Red Sea Region

Following the attempted attack on the American destroyer Gravely, Yemen's Houthis from the Ansarallah movement launched new attacks on civilian ships heading towards the Suez Canal.

▪️ The Liberian- flagged container ship KOI (COLE), which was en route to the Israeli port of Eilat, was attacked with an anti-ship missile. The ship was chartered by the British firm Oceanix Services, the same company that previously chartered the supertanker Marlin Luanda, which the Houthis hit on January 26.

▪️ Another attack occurred approximately 57 nautical miles from Al-Hodeidah: according to the UK Department of Maritime Trade Operations, an explosion took place some distance off the starboard side of an unidentified ship. Fortunately, the crew was not injured.

🔻 Last night, US Air Force F/A-18 carrier-based fighters attacked the group's targets in the vicinity of the city of Al - Hodeidah. Local media reported a series of powerful explosions in the area. Later, the US Central Command confirmed that they had successfully targeted the drone control station.

About changes in the composition of the coalition ship group

The other day, the French frigate Alsace of the FREMM Class passed through the Suez Canal into the Red Sea. According to preliminary data, it is expected to replace the frigate " Languedoc " of a similar type.

Currently, the French are primarily providing air defense and anti-inflammatory defense for ships. However, with the start of the EU operation in February, it is possible that they will become more actively involved in the fight against the Houthis. Furthermore, in the region, the French Aerospace Forces have strike fighters, and the FREMM-class frigates themselves are equipped with a ship-based version of SCALP cruise missiles, which, in theory, could be used against Ansaralla.

The replacement of the British destroyer Diamond, which is currently located somewhere in the Gulf of Aden - Arabian Sea, is also expected. It has been out of sight in recent days, leading to many rumors about its current condition. There is no confirmed information yet, but a ship has already been spotted in the southern part of the Red Sea, which could potentially be the frigate Richmond, sent to the Red Sea region.

Since Yemen's Ansarullah started its operations against Israeli-affiliated shipping, cargo passing through the Suez Canal has decreased by approximately 85%

Suez Canal shipping has come to an almost complete stop after the Red Sea attacks. This has a major impact on the Israeli economy, they won't be able to handle this much longer.

According to an exclusive Yemeni source, Ansarullah is considering implementing a plan they call the 'Al-Aqsa Triangle', by closing all three of the Middle East's major waterways: Bab Al-Mandab, Strait of Hormuz, and the Suez Canal