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IKEA Warns of Shipping Delays and Empty Shelves Due to Houthi Attacks in Red Sea

IKEA announced on Thursday that many shipping companies changing the routes of their ships to avoid being exposed to Houthi attacks in the Red Sea could lead to delays in deliveries of the Swedish furniture giant’s goods and possibly empty shelves in its stores.

The recent wave of missile and drone attacks on cargo ships by the Iran-backed Houthis has prompted many ships to avoid crossing the Red Sea and the Suez Canal, a transit point for about 10 percent of global trade.

Sailing ships around Africa adds another week to the journey between Asia and Europe, as well as hundreds of thousands of dollars in fuel costs.

“The situation in the Suez Canal will cause delays and may cause restrictions on the availability of some IKEA products,” IKEA told AFP in an email.

About 20,000 ships pass through the Suez Canal every year.

IKEA said that it is in close contact with the shipping companies it deals with, and it considers the safety of the crews of these companies its top priority.

“In the meantime, we are evaluating other supply options to ensure the availability of our products, and we continue to monitor the situation closely in the future,” the company added.

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2023-12-22 01:56:57

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