The Suez Canal Remains Blocked by a Massive Cargo Ship

A massive cargo ship called ‘Ever Given’ has completely blocked the Suez Canal. The 220,000 ton ship is about a quarter mile long and has a 20,000 container capacity. It had been blown by strong winds while entering from the Red Sea on Tuesday evening. Tugboats and Dredgers are currently working to dislodge it but the operation could take weeks. Yearly, 20,000 ships pass through the canal and transport everything from oil and gas to machine parts and consumer goods. The canal is used as a trade passageway for about 12% of the world’s seaborne trade. Officials with JPMorgan say if the blockage is prolonged, it could lead to ‘significant disruptions to global trade, skyrocketing shipping rates, an increase of energy commodities, and an uptick in global inflation’. Analysts have highlighted an increased risk of attacks on oil facilities as well.