Attacks by Iran-backed Houthi militants in Yemen on shipping have disrupted international trade on the shortest sea route between Europe and Asia.
These attacks, which target a route representing around 15% of global maritime traffic, have prompted several shipping companies to reroute their ships.
Here, in alphabetical order, are the companies’ reactions () to the disruptions:
AB FOODS ABF.L
The main owner is monitoring the situation, but its supply chains are capable of some adjustment, a company spokesperson told Reuters, adding that “so far we see no need to adjust.” worry”.
BASF BASFn.DE
The German chemical company does not anticipate any disruptions in the supply of raw materials or product distribution, but it is monitoring the situation closely, a company spokesperson said.
BP BP.L
On December 18, the oil major told The Address that it had temporarily halted all transits through the Red Sea.
COVESTRO 1COV.DE
The German chemical maker said a possible increase in transit times would not impact product supplies. Covestro expects its shipping partners to continue shipping through the passage as soon as it can be safely operated.
DANONE DANO.PA
The French food group said most of its shipments had been diverted to , which would lengthen transit times. If the situation were to last more than 2-3 months, the group would activate mitigation plans, including the use of alternative routes by sea or road where possible, a Danone spokesperson said.
ELECTROLUX
The Swedish appliance maker has set up a task force to find alternative routes or identify priority deliveries to try to avoid any disruption. The impact on deliveries is currently limited.
EQUINOR
The Norwegian oil and gas company said on December 18 that it had redirected ships heading to the Red Sea.
ESSITY ESSITYa.ST
The Swedish hygiene product manufacturer is monitoring the situation and remaining in contact with affected suppliers to ensure continued flow of goods, but believes the impact is limited as only a small percentage of its supplies pass through the canal of Suez, the company told Reuters.
EUROPRIS
The Norwegian retailer, which imports 35% to 40% of its goods from Asia via sea freight, told Reuters it supported shipping companies’ decision to reroute ships. Europris said the extended shipping times were within its safety margin and no significant issues were expected.
GEELY 0175.HK
Geely, China’s second-largest automaker by sales, said on Dec. 22 that its electric vehicle sales would likely be affected by a delay in deliveries as most of the shipping companies it uses to export vehicles electricity to Europe plan to pass through the Cape of Good Hope.
IKEA
The Swedish distributor of ready-to-assemble furniture told Reuters on December 19 that the situation in the Suez Canal would lead to delays and could cause availability constraints for some products.
“In the meantime, we are evaluating other supply options to ensure the availability of our products,” he added.
KEMIRA
The Finnish chemicals company said Dec. 19 that shipping companies’ decisions to reroute ships around the Cape of Good Hope would affect some of its international routes, but not significantly, at least in the short term.
“There is currently available capacity in the market and waiting times at ports are reasonably good,” a Kemira spokesperson told Reuters.
KONE KNEBV.HE
The Finnish elevator maker said the situation could in some cases delay shipments by 2-3 weeks, although the majority of its customers’ deliveries are expected to remain on schedule. Kone added that it had prepared for these disruptions by researching alternative delivery methods and routes, among other things.
LIDL
Tailwind Shipping Lines, a unit of the German discount supermarket chain, which transports non-food goods for Lidl and goods for third-party customers, said it was sailing around the Cape of Good Hope at the moment.
MEDIAMARKTSATURN
The German electronics retailer, a subsidiary of Ceconomy CECG.DE, told Reuters on December 21 that it did not expect the situation to affect its supply chain or product availability during the Christmas period .
“If the situation continues, we cannot exclude the possibility of experiencing isolated effects on product availability in the medium term,” the company added.
MOSAIC MOS.N
The American fertilizer company said on December 18 that it had rerouted some US-bound shipments around the Cape of Good Hope.
TSMC 2330.TW, TSM.N
The world’s largest contract chipmaker said Dec. 19 that it has a long-established enterprise risk management system and that after an assessment it does not anticipate a significant impact on its business .
VOLKSWAGEN VOWG_p.DE
The German automaker said Dec. 20 that rerouting shipments would cause journeys to lengthen by about two weeks.
“So far we have not seen any problems, but we are prepared in any case and have enough time during the holidays to include the two extra weeks of travel,” the manufacturer told Reuters.
VOLVO CAR VOLCARb.ST
The Swedish carmaker said it was affected by the transport obstructions and was studying the potential impact. However, it does not see an impact on its ability to meet its global production and wholesale targets, the company told Reuters.
WHIRLPOOL WHR.N
Whirlpool is closely monitoring logistical issues in the Red Sea, Suez Canal and the region to mitigate risks as they arise, the appliance maker told Reuters, adding that There was no impact on its activities at the moment.
YARA YAR.OL
The Red Sea is an important supply route for Yara, the Norwegian fertilizer maker said, but added it was only slightly affected by transit issues so far.