The Wednesday HOT TAKE

December 20

What’s HOT

HOT Tensions

Tensions are running hot where attacks by Yemen’s Iran-aligned Houthi militants on ships in the Red Sea are disrupting global tradeflows.

Major container lines, oil companies and more have halted all shipments through the Red Sea, instead opting to add thousands of miles to their journey around Africa’s Cape of Good Hope.

Need a geography refresher? Me too. The Red Sea sits at the southern end of the Suez Canal - connecting ships transiting the Mediterranean Sea through the Canal with destinations in Asia.

Who had a Panama Canal logistical nightmare AND Suez Canal/Red Sea issues on their 2023 bingo card?!

Speaking of the Panama Canal…

The Canal Authority recently announced it would increase daily transits to 24 starting in January. This is an increase from their earlier forecast of 20 daily slots in January and 18 in February.