War and climate change drive up global shipping costs
Freight rates on routes such as the Panama Canal, the Rhine, the Red Sea and the Black Sea are skyrocketing, while the closure of the Strait of Hormuz is also hitting maritime trade.
Shipping costs have surged to historic highs on key routes such as the Panama Canal, the Rhine, the Red Sea, and the Black Sea due to the conflict and climate change. The closure of the Strait of Hormuz is also impacting global maritime trade, with around 20% of the world's oil and gas previously transiting through this waterway from the Persian Gulf.
According to Argus, rates for transporting oil from the Persian Gulf to Asia reached $15.22 per barrel on August 10, the highest level since 2005. The increased costs are expected to be passed on to consumers, raising concerns about a potential spike in prices.
Written by urgent.news from Expansion ES's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
