Red Sea attacks disrupt world trade, more ships vow to avoid waters

Germany's Hapag-Lloyd and Hong Kong's OOCL will reroute 25 ships from the Red Sea due to attacks by Yemen's Houthi group, disrupting global trade. The Suez Canal, which handles 12% of worldwide trade, is severely impacted. Rerouting ships will cause backups at ports and shortages of vessels, containers, and equipment. The Iran-aligned Houthis have been attacking ships in response to Israel's war in Gaza. Global logistics executives stress the need for contingency plans to keep supply chains moving. Freight rates and shipping stocks have increased due to the disruption.