Houthi Militant Attacks Disrupt Red Sea Shipping, Threaten Global Economy

The United States launches multinational naval force in response, as shipping delays drive up the price of goods and pose new inflation risk.

Houthi militants have attacked 10 vessels in the Red Sea, disrupting Asia's cargo deliveries and supply chain during the peak holiday season.
Shipping lines have suspended vessels on the route, forcing them to divert around the Cape of Good Hope, adding up to two weeks’ journey, or 30-40 per cent more time between Asia and Europe.
The attacks have exacerbated traffic on the Suez Canal, where low water levels due to a drought have reduced the number of vessels that can pass through on the route since around July-August.
The United States has launched a multinational naval force to protect trade in the Red Sea after the attacks by Houthi rebels.
The attacks and subsequent shipping delays are expected to drive up the price of goods, bringing a new inflation risk to the global economy.