Yemen's Houthis rebels have brought the Gaza war to the Red Sea. Houthis have hijacked a ship, attacked around a dozen others- including a U.S. warship, and are vowing to continue the attacks until the Gaza war comes to an end. Shipping companies have been forced to re-route their vessel in order to avoid the dangerous waters. A U.S-led coalition is promising to defend Red Sea shipping from Houthi attacks, but it looks like Operation Prosperity Guardian has hit a roadblock even before it could set sail. To know more watch this insight from Dr Stavros Karamperidis, Maritime Economist at Plymouth University.

Houthi Rebels hijack critical Red Sea waterway

Yemen's Houthis rebels have brought the Gaza war to the Red Sea. Houthis have hijacked a ship, attacked around a dozen others- including a U.S. warship, and are vowing to continue the attacks until the Gaza war comes to an end. Shipping companies have been forced to re-route their vessel in order to avoid the dangerous waters. A U.S-led coalition is promising to defend Red Sea shipping from Houthi attacks, but it looks like Operation Prosperity Guardian has hit a roadblock even before it could set sail. To know more watch this insight from Rear Admiral Dr Rakesh Chopra, Maritime Operations expert.

Houthi Rebels hijack Red Sea, Naval coalition suggested

Yemen's Houthis rebels have brought the Gaza war to the Red Sea. Houthis have hijacked a ship, attacked around a dozen others- including a U.S. warship, and are vowing to continue the attacks until the Gaza war comes to an end. Shipping companies have been forced to re-route their vessel in order to avoid the dangerous waters. A U.S-led coalition is promising to defend Red Sea shipping from Houthi attacks, but it looks like Operation Prosperity Guardian has hit a roadblock even before it could set sail.

The Pirates of the Red Sea: Houthi Rebels hijack critical waterway

The Red Sea standoff continues to escalate every day Yemen's Houthi Rebels carried on with their barrage of targeted attacks on what the group refer towards Israel Affiliated ships. The latest US and Iran are involved in a war of words the former had previously accused Iran of backing the Houthis in their attacks on private vessels crossing the Red Sea. But on Saturday Iran's foreign minister rejected the accusations of their involvement.

Israel-Hamas war: Will US naval task force ease or escalate tensions in the Red Sea?

The Red Sea standoff continues to escalate every day Yemen's Houthi Rebels carried on with their barrage of targeted attacks on what the group refer towards Israel Affiliated ships. The latest US and Iran are involved in a war of words the former had previously accused Iran of backing the Houthis in their attacks on private vessels crossing the Red Sea. But on Saturday Iran's foreign minister rejected the accusations of their involvement. To know more watch this interview with former Indian envoy to UAE & Egypt, Navdeep Singh Puri.

Indian-flagged oil vessel attacked in the Red Sea

Iran rejects involvement in Houthi attacks in the Red Sea

Tensions in the Red Sea are indeed simmering an Indian-flagged crude oil tanker has been attacked by Houthi militants according to the US military. The US Naval Forces Central Command has said that no injuries have been reported from the strike. However the Indian media reports indicate that the Indian-flagged vessel was not hit and that the Drone strike was a near miss.

Israel-Hamas War | Indian tanker reportedly attacked by drone fired by Houthi militants

Israel-Hamas War | Unclaimed missile strike hit MV Chem Pluto

Here we bring you a quick round-up of all the latest news and top headlines from all across the globe: Indian-flagged crude oil tanker has been attacked by Houthi militants according to the US military.

Indian tanker reportedly attacked by drone fired by Houthi militants

Israel-Hamas war: US Vs Houthi militants in Red Sea

Israel-Hamas war: Indian flagged oil tanker attacked in Red Sea

Iran has rejected all US allegations of its involvement in planning attacks on Commercial vessels. The attacks were carried out by Yemen's Houthis in the Red Sea as per the media reports. Iranian Deputy Foreign Minister kept on emphasizing Houthi's Independent actions and capabilities of carrying out the attacks.

Israel-Hamas War | US: Iran's intelligence critical for Houthi attacks

In a concerning development, the Red Sea region has witnessed a significant surge in maritime security incidents, including missile attacks over the past two months, with the week from December 14 to 20 reporting the highest number of incidents in this period.

According to data released by the Gurugram-based Information Fusion Centre - Indian Ocean Region (IFC-IOR), there were nine maritime security threats last week, a stark increase from the previous weeks.

The primary cause behind this escalation appears to have been the uptick in Houthi attacks originating from Yemen.

The Houthi rebels have been targeting vessels they suspect are heading to or from Israel, a response to Israeli actions in Gaza. Israel's substantial offensive in Gaza was triggered by a terror attack by Hamas in October.

During the week spanning from December 14 to 20, a staggering&nbsp;nine maritime security threats were reported, marking a significant escalation compared to the preceding week of December 7 to 13, which documented only two such incidents.

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The trend of rising security concerns continued from the week of November 30 to December 6, where five incidents were recorded.

In the preceding weeks, the situation unfolded with two incidents from November 23 to 29, a singular incident from November 16 to 22, and a notably calm week from November 9 to 15, with no reported incidents.

Also Read |&nbsp;<a href="https://www.wionews.com/world/us-supreme-court-refuses-to-hear-trump-immunity-case-delaying-his-trial-672705">US: Supreme Court refuses to hear Trump immunity case, delaying his trial</a>

When it comes to last week, on December 13, the tanker Mt Ardmore Encounter faced a missile attack from Yemen's Hodeidah, with two missiles being launched.

Simultaneously, a US Navy ship successfully intercepted an unmanned aerial vehicle near Port Hodeidah. The following day, on December 14, MV Maersk Gibraltar became the target of a ballistic missile attack north of the Bab el Mandeb strait.

Fortunately, the missile exploded nearby, ensuring the safety of both the crew and the vessel. Two incidents unfolded on December 15, involving projectiles hitting vessels. MV Al Jasrah was struck by a projectile, and concurrently, MSC Palatium III was hit by a missile, both incidents originating from the Yemen region. In both cases, all crew members were reported safe.

Watch |&nbsp;<a href="https://www.wionews.com/videos/last-french-troops-leave-sahel-as-military-cooperation-officially-ends-672712">Last French troops leave Sahel as military cooperation officially ends</a>

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December 16 and 18 each witnessed two incidents. On December 16, a US Navy ship took down 14 unmanned aerial vehicles in the Red Sea off the coast of Yemen, while a UK Navy ship shot down another UAV off the Yemen coast. On December 18, MT Swan Atlantic faced a projectile attack resulting in an explosion on the port quarter of the vessel.

Similarly, MSC Clara reported an explosion in the vicinity of Mokha, Yemen. Importantly, in both instances, the vessel and crew members were reported safe.

Throughout December, as indicated by the released data, incidents involving vessels being struck by missiles and the interception of drones have been recurrent.

A notable instance occurred on December 3 when three maritime security threats were documented. In the Bab el Mandab strait, a missile hit a Panama-flagged container vessel.

Concurrently, the Bahamas-flagged bulk carrier, Unity Explorer, faced a missile strike resulting in minor damages. The same day witnessed a drone missile attack targeting the Panama-flagged bulk carrier Sophie II in the Bab el Mandab.

Moving forward to December 11, the Norway-flagged tanker Strinda experienced a missile strike. In this case, a US Naval ship assisted and escorted the damaged vessel.

Amid the crisis in the Red Sea, India has been backing free movement of commercial shipping. Earlier in the week, MEA Spokesperson Arindam Bagchi said, "have been supportive of the free movement of commercial shipping. So that is something that we are interested in".

He highlighted that India is "monitoring the developments there" and has been "part of efforts to ensure the safe transit of ships in the Arabian Sea and we value the free movement of commercial shipping".

The situation has prompted major shipping companies to rethink their routes, pausing passage through the Red Sea and opting for longer, alternative routes. This shift is likely to have a profound impact on global trade, potentially leading to disruptions in the supply chain and subsequently affecting oil and food prices. The extended travel times for vessels may contribute to increased global inflation.

India's Information Fusion Centre - Indian Ocean Region (IFC-IOR) marks 5 years this week of its establishment. Known as India's eye on the Indian Ocean, it tracks vessel movements, and other maritime crimes, like illegal fishing, and piracy, and was established on December 22, 2018. Other information fusion centres in the region include, the Information fusion centre, Singapore and Regional Maritime Information Fusion Centre, Antananarivo, Madagascar established in 2016 under the European Union’s Maritime Security Programme.

In a concerning development, the Red Sea region has witnessed a significant surge in maritime security incidents, including missile attacks over the past two months, with the week from December 14 to 20 reporting the highest number of incidents in this period.

In a concerning development, the Red Sea region has witnessed a significant surge in maritime security incidents, including missile attacks over the past two months, with the week from December 14 to 20 reporting the highest number of incidents in this period. According to data released by the Gurugram-based Information Fusion Centre - Indian Ocean Region (IFC-IOR), there were nine maritime security threats last week, a stark increase from the previous weeks. The primary cause behind this escalation appears to have been the uptick in Houthi attacks originating from Yemen. The Houthi rebels have been targeting vessels they suspect are heading to or from Israel, a response to Israeli actions in Gaza. Israel's substantial offensive in Gaza was triggered by a terror attack by Hamas in October. During the week spanning from December 14 to 20, a staggering nine maritime security threats were reported, marking a significant escalation compared to the preceding week of December 7 to 13, which documented only two such incidents. Also Read | India votes for 'permanent sovereignty of Palestinian people' at UN General Assembly The trend of rising security concerns continued from the week of November 30 to December 6, where five incidents were recorded. In the preceding weeks, the situation unfolded with two incidents from November 23 to 29, a singular incident from November 16 to 22, and a notably calm week from November 9 to 15, with no reported incidents. Also Read | US: Supreme Court refuses to hear Trump immunity case, delaying his trial When it comes to last week, on December 13, the tanker Mt Ardmore Encounter faced a missile attack from Yemen's Hodeidah, with two missiles being launched. Simultaneously, a US Navy ship successfully intercepted an unmanned aerial vehicle near Port Hodeidah. The following day, on December 14, MV Maersk Gibraltar became the target of a ballistic missile attack north of the Bab el Mandeb strait. Fortunately, the missile exploded nearby, ensuring the safety of both the crew and the vessel. Two incidents unfolded on December 15, involving projectiles hitting vessels. MV Al Jasrah was struck by a projectile, and concurrently, MSC Palatium III was hit by a missile, both incidents originating from the Yemen region. In both cases, all crew members were reported safe. Watch | Last French troops leave Sahel as military cooperation officially ends × December 16 and 18 each witnessed two incidents. On December 16, a US Navy ship took down 14 unmanned aerial vehicles in the Red Sea off the coast of Yemen, while a UK Navy ship shot down another UAV off the Yemen coast. On December 18, MT Swan Atlantic faced a projectile attack resulting in an explosion on the port quarter of the vessel. Similarly, MSC Clara reported an explosion in the vicinity of Mokha, Yemen. Importantly, in both instances, the vessel and crew members were reported safe. Throughout December, as indicated by the released data, incidents involving vessels being struck by missiles and the interception of drones have been recurrent. A notable instance occurred on December 3 when three maritime security threats were documented. In the Bab el Mandab strait, a missile hit a Panama-flagged container vessel. Concurrently, the Bahamas-flagged bulk carrier, Unity Explorer, faced a missile strike resulting in minor damages. The same day witnessed a drone missile attack targeting the Panama-flagged bulk carrier Sophie II in the Bab el Mandab. Moving forward to December 11, the Norway-flagged tanker Strinda experienced a missile strike. In this case, a US Naval ship assisted and escorted the damaged vessel. Amid the crisis in the Red Sea, India has been backing free movement of commercial shipping. Earlier in the week, MEA Spokesperson Arindam Bagchi said, "have been supportive of the free movement of commercial shipping. So that is something that we are interested in". He highlighted that India is "monitoring the developments there" and has been "part of efforts to ensure the safe transit of ships in the Arabian Sea and we value the free movement of commercial shipping". The situation has prompted major shipping companies to rethink their routes, pausing passage through the Red Sea and opting for longer, alternative routes. This shift is likely to have a profound impact on global trade, potentially leading to disruptions in the supply chain and subsequently affecting oil and food prices. The extended travel times for vessels may contribute to increased global inflation. India's Information Fusion Centre - Indian Ocean Region (IFC-IOR) marks 5 years this week of its establishment. Known as India's eye on the Indian Ocean, it tracks vessel movements, and other maritime crimes, like illegal fishing, and piracy, and was established on December 22, 2018. Other information fusion centres in the region include, the Information fusion centre, Singapore and Regional Maritime Information Fusion Centre, Antananarivo, Madagascar established in 2016 under the European Union’s Maritime Security Programme.

Red Sea sees sharp rise in missile attacks, says data from India's key maritime body, IFC-IOR

The Red Sea Alliance, a U.S.-initiated naval coalition aimed at securing critical maritime routes in the Red Sea, faces significant challenges. With diverse responses from over 38 invited countries and key West Asian players hesitant to join, the coalition's unity and effectiveness are in question. The alliance, formed to counter maritime aggression by Iran-backed Houthi rebels in Yemen, grapples with national interests, regional sensitivities, and geopolitical complexities.

Red Sea attacks: Houthi attacks pose a significant threat to the global economy

As tensions in the Red sea soar, the Houthis have threatened to attack US warships if provoked. Is the Red sea becoming a new flashpoint in the Israel-Hamas war? Priyanka Sharma brings you a report.

Gravitas: Houthis threaten to attack U.S. warships if 'provoked' | Red Sea crisis

Yemeni citizens took to the streets again protesting Israel's endless military operations in Gaza that have triggered a dire humanitarian crisis in The Enclave. Thousands protested in solidarity with Gazans in Yemen's capital city of Sanaa. Watch this interview with John Erath who is the senior policy director of Center for Arms Control.

Israel-Hamas war: Yemen's Houthi group warns US

Yemeni citizens took to the streets again protesting Israel's endless military operations in Gaza that have triggered a dire humanitarian crisis in The Enclave. Thousands protested in solidarity with Gazans in Yemen's capital city of Sanaa.

Israel-Hamas war: Thousands chant pro-Palestine slogans in Yemen

The US has accused Iran of aiding Houthi Pirates. Iran was "deeply involved" in planning operations against commercial vessels in the Red Sea and its intelligence was critical to enable Yemen's Houthi movement to target ships, the White House said on Friday.

Israel-Hamas war: US accuses Iran of aiding Houthi pirates in the Red Sea

The Israel-Hamas war will soon enter its third month, and there are fears that this ongoing conflict might spill over to the rest of the Middle East. The Iran-aligned Houthis of Yemen have been playing an escalating role in the war, attacking commercial ships at the southern end of the Red Sea, and also firing missiles at Israel.

The Israel-Hamas war will soon enter its third month, and there are fears that this ongoing conflict might spill over to the rest of the Middle East. The Iran-aligned Houthis of Yemen have been playing an escalating role in the war, attacking commercial ships at the southern end of the Red Sea, and also firing missiles at Israel. According to a report by the news agency Reuters on Wednesday (Dec 20), the attacks have raised the spectre of another bout of disruption to international commerce which was previously seen during the Covid pandemic. A United States-led international force has been dispatched to patrol waters near Yemen. The attacks in the Red Sea have also threatened sea lanes through which much of the world's oil is shipped. Several shipping companies along with some liquefied natural gas (LNG) tankers have decided to avoid the world's main East-West trade route following the attacks. The significance of the Red Sea The Red Sea is the only route to the Suez Canal, linking some of the world's biggest consumers of tradable goods in Europe with big suppliers in Asia, a report by The Straits Times on Saturday said. The report added that around 12 per cent of global trade passes through the canal and more than $1 trillion worth of goods per year. The attacks by Houthis have made reaching the Suez Canal more perilous. Reuters reported on Wednesday that 4-8 per cent of global LNG cargoes passed through the canal this year. Click here to follow all updates on the Israel-Hamas war Citing S&P Global Commodity Insights, the report said that in 2023, a total of 16.2 million metric tonnes (MMT), or 51% of LNG trade, has flowed from the Atlantic Basin east through the Suez Canal, while 15.7 MMT went through the canal from the Pacific Basin west. On the other hand, 8.2 million barrels per day (bpd) of crude oil and oil products traversed the Red Sea over January-November, as per analytics firm Vortexa. The main shippers through the Red Sea route The Suez Canal is one of the most important arteries of the global oil trade. Vortexa's head of intelligence and analysis for MENA Jay Maroo told Reuters that the northbound traffic (through the Red Sea route) is dominated by European imports, primarily of crude oil from Middle East producers and also of middle distillates from India and the Middle East. The southbound traffic comprises crude flows, mainly from Russia to Asian customers, and also refined products naphtha and fuel oil, he added. Three countries - Qatar, the US, and Russia are the most active shippers of LNG via the canal. Who guards the Red Sea? Some commercial ships in the Red Sea have armed security who can open fire on approaching vessels if they look hostile. However, the region is also protected by the Combined Maritime Forces- a 39-nation partnership including the navies of the United States, India, Australia, France, the United Kingdom (UK), Saudi Arabia and Yemen. On Tuesday, US Defense Secretary Lloyd Austin announced the creation of a multinational operation to safeguard commerce in the Red Sea. “The lifeblood of a rules-based international order is actually seawater. All countries have the right to move freely and lawfully in international waters, but that foundational global right is under new threat today from the totally unacceptable attacks on merchant vessels by the Houthis in Yemen,” Austin said. Also read: Red Sea crisis weighs on already disrupted global supply chains “So, this morning we’ve launched Operation Prosperity Guardian, under the umbrella of combined maritime forces and under the leadership of taskforce 153. That operation is bringing together more than a dozen countries from around the world to conduct joint patrols in the Red Sea and the Gulf of Aden,” he added. The Pentagon said on Thursday that more than 20 countries agreed to participate in the coalition. "We've had over 20 nations now sign on to participate. We'll allow other countries, defer to them to talk about their participation," Pentagon Press Secretary Major General Patrick Ryder said. Have prices been impacted following the attacks? Reuters reported on Wednesday that Asian spot LNG prices were at $12.3 per million British thermal units (mmBtu) and remained throughout this range since the attacks by Houthis (at the Red Sea) started. Prices have fallen in recent weeks mounting demand concerns and growing indications that the world will go into the next year in a supply surplus. Tamas Varga of oil broker PVM told the news agency that the recent rise in oil prices was understandable "but the rally will not last unless oil supply is materially affected." Oil freight prices have already been impacted. According to Vortexa, Rates for booking a Suezmax to transport crude from the Middle East to Europe went up 25 per cent in a week. A shipping source told Reuters that insurance war risk premiums went up from $2,000 to $10,000. Meanwhile, crude and oil products market players said the extent of the impact will be determined by the duration of shipping disruptions as a result of the Houthi attacks. LNG market players have said that the gas trade is likely to be largely unaffected and any disruption would not have a massive impact on global supply. (With inputs from agencies)

Explained: How attacks on Red Sea by Houthis will affect oil and gas shipping?

Israel-Hamas war: Pro-Hamas, Pro-Houthi protests rock Yemen

Red Sea attacks: US accuses Iran of aiding Houthi pirates

The US has accused Iran of aiding Houthi Pirates. Iran was "deeply involved" in planning operations against commercial vessels in the Red Sea and its intelligence was critical to enable Yemen's Houthi movement to target ships, the White House said on Friday. Dr Elisabeth Kendall, Middle East Expert & Head Girton College, Cambridge University speaks to WION.

Israel-Hamas War: Houthi leader threatens to attack U.S. Warships

US announces Naval 20-country coalition to defend Red Sea | Israel-Hamas War | World News | WION

US: Iran deeply involved in Red Sea attacks | Israel-Hamas War

Gravitas | Red Sea alliance: Ambitious goals, uncertain future

Freight companies are rerouting around the Cape of Good Hope to avoid the Suez Canal as a result of attacks on ships in the Red Sea by Houthi terrorists from Yemen who are associated with Iran. This is causing disruptions to maritime trade and motivating the United States to form a coalition to counter the threat.

Red Sea crisis raises the spectre of supply chain

The pressure on global supply chains from shipping companies re-routing cargo vessels away from the Red Sea is starting to be felt. Ikea said on wednesday that it faces delays and supply shortages of some items. The swedish manufacturer of flat-pack furniture pointed directly at the attacks by Houthi on ships in the red sea for the potential shortage. Many shipping firms are now avoiding the world's principal east-west commerce route due to attacks on commercial ships at the southern end of the Red Sea by Yemen's Houthi rebels.

Ikea faces delays & supply shortages

There seems to be no respite for battered global supply chains. First trade wars, followed by covid-led restrictions disrupted global supply chains. Now, it is the Israel-Hamas war. Global energy prices jumped as tensions escalated around the vital shipping route, where drone and missile assaults have prompted some companies to halt sending cargos.

Red Sea crisis raises the spectre of Supply Chain Disruption | World DNA | WION

In order to combat the Houthi danger to the commercial boats operating in the area, India has sent its warships to the Red Sea. INS Kochi and INS Kolkata are now conducting patrols in the Gulf of Aden, which links the Arabian Sea with the Red Sea.

Indian stations two destroyers off Aden Coast for maritime security | Fight against Houthis

There is no respite for battered global supply chains. First, trade wars and then Covid-led restrictions disrupted global supply chains.

Now, it is the Israel-Hamas war that is distorting them further.

Oil tankers are idling, and cargo ships are rerouting around Africa as Red Sea shipping comes to a complete stop as violence related to the Israel-Hamas conflict threatens to destabilise the world economy.

Global energy prices have jumped as tensions escalated around the vital shipping route.

"It's more a risk factor that we had hoped had gone and had passed away, in that namely supply chain frictions is back in play. It depends now all on how long the tensions will last, on whether the Suez Canal will really be blocked for good," said Carsten Brzeski, Chief Economist At ING Markets.

"But if you just look at the numbers: the Suez Canal accounts for more than 10% of global trade, more than 30% of container transportation. So if this canal is really blocked, it means bad news for world trade, bad news for the global economy and bad news for inflation," added Brzeski.

Economic costs of Red Sea attacks

On Monday, two major European oil and gas companies said their tankers would steer out of the waters off the coast of Yemen, a necessary stop for ships that use the Suez Canal to connect Europe and Asia.

They follow prominent container shippers who left the region last week as Houthi rebels backed by Iran escalated their attacks in support of Hamas.

Businesses from BP to A.P. Moller-Maersk face longer trips.

More major firms have now decided to pause shipping through the Red Sea and instead use the longer and more expensive Cape of God route.

The disruption will weigh on firms that carry consumer products and commodities like coal, maise, and energy supplies.

Businesses that have decided to pause shipping through the Red Sea include CMA shipping, Euronav, Evergreen, Frontline, Happag-Lloyds, HMM, Maersk, MSC, Ocean Network Services and OOCL.

Gas prices in Europe rose by 13% in response to the clearest indication yet of an interruption in energy supplies since the start of the Gaza war.

Tuesday saw increases in Brent oil futures, which had risen as high as 3.9% on Monday.

While considerable wiggle room exists in the world's supply chains to accommodate the current stresses on capacity, the abrupt shutdown of the Suez Canal in 2021 demonstrated the networks' vulnerability when important linkages fail.

What is the world's response?

Countries are under pressure to respond as international trade comes under threat.

The US Secretary of Defence announced that the US and its allies, which include the UK, Canada, France, and others, had decided to form a naval task force to fend against assaults on ships in the area.

India, too, has deployed ships to support the global response.

Lloyd J. Austin, U.S. Secretary of Defense, said: "This is an international challenge that demands collective action."

The US Defence Secretary has called a ministers meeting to decide the next action.

However, it's more complex, as the region's Gulf allies have differing views on the best course of action.

No respite anytime soon

As Israeli warplanes continue to batter the shattered Gaza Strip, Yemen's Houthis pledged to resist a US-led naval expedition and continue striking Red Sea cargo in support of the Palestinian enclave's ruling Hamas organisation.

As major shipping firms are forced to reroute, Washington established a task group on Tuesday to protect Red Sea commerce, raising concerns about long-term disruptions to global trade.

Defying a US-led military campaign, the Houthis pledged to continue targeting Red Sea ships.

A little over 12% of all maritime traffic in the world travels via the Suez Canal and the Red Sea.

Since most Middle Eastern fuel is exported via the Strait of Hormuz, observers noted that the impact on the oil supply has been little thus far.

But shipping costs are sure to jump and add to inflation woes.

The sudden disruption in global supply chains added to the uncertainty when the world's major central banks look at a return to normalising monetary policy.

"If it's just short-lived, consumers won't notice anything, maybe, except for higher energy prices. It's going to be temporary," said ING Markets' Brzeski.

"If it lasts longer, we will see that inflation goes up again, not at the same magnitude as we had it in 2021. But clearly, we would then have a completely new narrative, no longer the narrative that inflation is on its way down but that inflation will rebound in the first month of 2024," he added.

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There is no respite for battered global supply chains. First, trade wars and then Covid-led restrictions disrupted global supply chains. Now, it is the Israel-Hamas war that is distorting them further.

There is no respite for battered global supply chains. First, trade wars and then Covid-led restrictions disrupted global supply chains. Now, it is the Israel-Hamas war that is distorting them further. Oil tankers are idling, and cargo ships are rerouting around Africa as Red Sea shipping comes to a complete stop as violence related to the Israel-Hamas conflict threatens to destabilise the world economy. Global energy prices have jumped as tensions escalated around the vital shipping route. "It's more a risk factor that we had hoped had gone and had passed away, in that namely supply chain frictions is back in play. It depends now all on how long the tensions will last, on whether the Suez Canal will really be blocked for good," said Carsten Brzeski, Chief Economist At ING Markets. "But if you just look at the numbers: the Suez Canal accounts for more than 10% of global trade, more than 30% of container transportation. So if this canal is really blocked, it means bad news for world trade, bad news for the global economy and bad news for inflation," added Brzeski. Economic costs of Red Sea attacks On Monday, two major European oil and gas companies said their tankers would steer out of the waters off the coast of Yemen, a necessary stop for ships that use the Suez Canal to connect Europe and Asia. They follow prominent container shippers who left the region last week as Houthi rebels backed by Iran escalated their attacks in support of Hamas. Businesses from BP to A.P. Moller-Maersk face longer trips. More major firms have now decided to pause shipping through the Red Sea and instead use the longer and more expensive Cape of God route. The disruption will weigh on firms that carry consumer products and commodities like coal, maise, and energy supplies. Businesses that have decided to pause shipping through the Red Sea include CMA shipping, Euronav, Evergreen, Frontline, Happag-Lloyds, HMM, Maersk, MSC, Ocean Network Services and OOCL. Gas prices in Europe rose by 13% in response to the clearest indication yet of an interruption in energy supplies since the start of the Gaza war. Tuesday saw increases in Brent oil futures, which had risen as high as 3.9% on Monday. While considerable wiggle room exists in the world's supply chains to accommodate the current stresses on capacity, the abrupt shutdown of the Suez Canal in 2021 demonstrated the networks' vulnerability when important linkages fail. What is the world's response? Countries are under pressure to respond as international trade comes under threat. The US Secretary of Defence announced that the US and its allies, which include the UK, Canada, France, and others, had decided to form a naval task force to fend against assaults on ships in the area. India, too, has deployed ships to support the global response. Lloyd J. Austin, U.S. Secretary of Defense, said: "This is an international challenge that demands collective action." The US Defence Secretary has called a ministers meeting to decide the next action. However, it's more complex, as the region's Gulf allies have differing views on the best course of action. No respite anytime soon As Israeli warplanes continue to batter the shattered Gaza Strip, Yemen's Houthis pledged to resist a US-led naval expedition and continue striking Red Sea cargo in support of the Palestinian enclave's ruling Hamas organisation. As major shipping firms are forced to reroute, Washington established a task group on Tuesday to protect Red Sea commerce, raising concerns about long-term disruptions to global trade. Defying a US-led military campaign, the Houthis pledged to continue targeting Red Sea ships. A little over 12% of all maritime traffic in the world travels via the Suez Canal and the Red Sea. Since most Middle Eastern fuel is exported via the Strait of Hormuz, observers noted that the impact on the oil supply has been little thus far. But shipping costs are sure to jump and add to inflation woes. The sudden disruption in global supply chains added to the uncertainty when the world's major central banks look at a return to normalising monetary policy. "If it's just short-lived, consumers won't notice anything, maybe, except for higher energy prices. It's going to be temporary," said ING Markets' Brzeski. "If it lasts longer, we will see that inflation goes up again, not at the same magnitude as we had it in 2021. But clearly, we would then have a completely new narrative, no longer the narrative that inflation is on its way down but that inflation will rebound in the first month of 2024," he added. WATCH WION LIVE HERE

Red Sea crisis weighs on already disrupted global supply chains

India has sent warships to the red sea to tackle the Houthi threat to the commercial boats in the region. INS Kochi and INS Kolkata are now patrolling in the gulf of Aden, which connects the red sea with the Arabian Sea. The Indian Navy said in a statement it remains committed to being a first responder in the region and in ensuring the safety of merchant shipping.

India sends warships to the Gulf of Aden

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