EMEA News
2021 Ever Given Suez Canal Blockage Caused Maersk $89 Million Loss: Report
A new study has set out some of the cost impact of the Suez Canal being blocked by a container ship four years ago.
The blockage on March 23, 2021, occurred when the Ever Given boxship ran aground in the Suez Canal.
The six-day incident disrupted global shipping and led to significant delays in the flow of goods through one of the world's busiest trade routes, according to a new study by European research team in collaboration with University of Gothenburg.
The 2021 blockage led to a $89 million loss for container line A.P Moller-Maersk and resulted in a 44,574-tonne increase in CO2 emissions from its fleet due to longer voyages and extended waiting times.
"Ship costs are calculated by summing the daily capital, operational, container, and fuel costs during the period of the blockade," the study states.
The methodology used in the study can be applied to other logistical disruptions, such as the Red Sea crisis, which has forced ships to reroute around the Cape of Good Hope instead of using the shorter Suez Canal route.
"Given the large number of ships being rerouted over an extended period of time, the consequences are much greater now, both in terms of inventory holding costs and carbon dioxide emissions," Professor Theo Notteboom said.
