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Ships diverted from Red Sea send ripple effects across the globe

Bloomberg
Bloomberg • 5 min read
Ships diverted from Red Sea send ripple effects across the globe
Nearly six months into the Houthis’ relentless campaign to protest Israel’s war in Gaza, the economic fallout is widening. Photo: Bloomberg
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Never has it been so cheap to inflict a world of economic pain.

That stark point was underscored last week by Maximilian Hess, a principal at London-based Enmetena Advisory, a political risk consultancy. Speaking to a webinar of supply-chain managers, he showed a slide of a canoe-size naval drone and said such jury-rigged weapons have the ability to redirect world trade.

“Nowhere is this more clear than in the conflict in the Red Sea,” Hess said, referring to attacks launched from Yemen toward commercial ships trying to use the Suez Canal.

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