
Saudi Arabia is stepping up the use of its pipeline network to the Red Sea to keep crude exports moving while the Strait of Hormuz remains heavily disrupted by the war with Iran. The key route is the Abqaiq-Yanbu system, also known as the East-West Pipeline or Petroline, which links Gulf oil fields with the Yanbu terminal on the Red Sea. That infrastructure has become the kingdom’s main escape route around Hormuz, the chokepoint that normally carries about a fifth of global oil and liquefied natural gas supply.

The Houthis are growing in strength and trade through the Red Sea is declining despite ongoing international military pressure on the rebel group, a study has warned. The report from the International Institute for Strategic Studies (IISS) said missions such as Operation Prosperity Guardian, Operation Poseidon Archer and EUNAVFOR Aspides had made little impact.

But the Red Sea shipping scenario with the Houthis attacks, and to a smaller extent, the drought in Panama – have had as can be expected in such situations, some sectors that can benefit. That is why most shipping sectors have experienced the strongest growth in ton-miles registered this year since 2010, helping prop up rates to highly profitable levels

The global container shipping capacity has been strained due to the Red Sea/Suez Canal situation and a restocking cycle in the U.S. and Europe with strong purchasing of Chinese goods. On May 17, the Shanghai Export Containerized Freight Index (SCFI) rose to 2520.76 points, a 9.3% increase from the previous week and more than a 130% increase since the Red Sea crisis in December, points out the Shanghai Shipping Exchange.

British firms are facing higher shipping costs and delays of up to four weeks due to Houthi attacks in the Red Sea, according to a survey from the British Chamber of Commerce (BCC). More than a third of firms admitted the situation, but the figure rose to more than half among exporters responding to the survey, which the BCC said could lead to higher prices in the UK economy overall.

The European Union will be sending three European warships and airborne early warning systems to the Red Sea and the Gulf of Aden, to protect international shipping, following a meeting of EU foreign ministers

A ship carrying 16,000 sheep and cattle to Israel and that had been stranded off the coast of Australia in extreme heat conditions has returned to a Perth port. MV Bahijah abandoned its journey through the Red Sea - where Houthi fighters in Yemen have been attacking ships - leaving the animals stuck on board for weeks.

The United States has organized the deployment in the Red Sea of a multinational naval force to defend against attacks on international shipping in the region. US Defense Secretary Lloyd Austin, currently visiting Bahrain made the announcement.

Several global maritime agencies and oil and gas giant British Petroleum announced they would temporarily pause transit through the Red Sea until further notice because of the repeated missile and drone incidents against their vessels.

Egypt plans to build a new Suez Canal alongside the existing 145-year-old historic waterway in a multi-billion dollar project aimed at expanding trade along the fastest shipping route between Europe and Asia.