Ikea warns of delivery delays after attacks in the Red Sea
Published: Thursday, Dec 21st 2023, 22:20
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Problems in logistics: The Swedish furniture giant Ikea has warned of possible delivery delays and even empty shelves due to the bypassing of the Red Sea following attacks on container ships.
"The situation in the Suez Canal will lead to delays and may limit the availability of some Ikea products," the company wrote to the AFP news agency on Thursday. Previously, a wave of attacks on container ships by Iran-backed Huthi rebels in Yemen had caused many freighters to avoid sailing through the Suez Canal and the Red Sea.
The Red Sea and the Suez Canal are central trade routes for global trade, with around 20,000 ships passing through the Suez Canal every year. If container ships instead sail around the southern tip of Africa on their way between Asia and Europe, the journey can take a week longer, and the detour also incurs additional fuel costs amounting to hundreds of thousands of euros.
Group examines alternatives
Ikea stated that it was in close contact with the transportation companies and that the safety of its employees was its top priority. "In the meantime, we are exploring other delivery options to ensure the availability of our products and we will continue to monitor the situation closely," the company said.
Since the beginning of the war between Israel and the radical Islamic Palestinian organization Hamas, the Houthi militia in Yemen has repeatedly fired drones and missiles at Israel and most recently attacked ships in the Red Sea on several occasions. Yemen is located on the Bab-al-Mandeb strait between the Red Sea and the Gulf of Aden. Due to the repeated attacks, several shipping companies - including the Swiss company MSC - have announced in recent days that they will be suspending voyages through the strait.
The Houthi rebels are threatening to attack any ship on its way to Israel unless more food and medicine is allowed to be transported to the Gaza Strip. On Tuesday, a high-ranking Houthi representative reiterated that the rebels would continue their attacks regardless of an international military coalition to secure maritime trade in the Red Sea.
©Keystone/SDA
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