Suez Canal Blockage adds to pressure points in Global Trade

The cargo ship struck at Suez Canal seems to be making news in a big way. It's because of the huge money it contributes to Panama, the supply chain seems to have hampered in a big way.

The cargo ship struck at Suez Canal seems to be making news in a big way. It’s because of the huge money it contributes to Panama, the supply chain seems to have hampered in a big way. The economy which was already in a mess due to the growing pandemic cases all across the world, Suez seems to add new pressure points on the global trade in a big way just after the supply chains were affected in the Covid times. Egypt’s Suez Canal with a mammoth container of 400 meters has remained the talk of the town. With the savage and tugboats crew taking all advantage, it seemed to have shown the tide early Monday that kept the ship floating while it was stuck between Asia and Europe.

Suez Canal ShipThe Japanese ship owner claims that the ship has moved a little but is still stuck to the Suez Canal seafloor and would remain till it gets enough water to float in the sea. This could be done by either pumping a huge amount of water around the ship or wait to see the rise of the water level with the high tide. In both cases, the people had to wait a long time losing huge money as many ships were seen stranded in the Suez Canal passage.  Both the salvage crew and the tugboats were able to take advantage of high tides early Monday that seemed to have carried out cargo that is found in Asia and Europe. Thus it seems unclear how long will it take to clear things.

The ship stuck in Suez Canal was seen getting too much attention for the big stake involved as Panama ship’s owner and thus was seen bowing down to global trade till we saw the reopening of the Suez Canal. If things go smoothly, it will still take a few weeks to clear the screen at the Panama based stretch. But this may be called a wake-up call for a number of companies, which seemed to have established business in order to reply over the supply chains that come with a little room for errors claimed the chief economist of Milken Institute. This can be called as a warning about how weak the supply chain comes to be when we talk about the just-in time inventory methods that remain very much popular in the rethought process.

A number of nations are seen giving harsh lessons to the realities. We can see the commerce getting disrupted by a myriad of ships giving too many cases of covid 19 giving the factory floors. There are several consumers all over the world who are seen getting affected with the adventure to a number of other places also getting affected a lot. Getting the supplies dealing with medicines and several other personal secured equipment like face masks and many more medical supplies seemed challenging a number of other things. With things getting stranded in Suez canal, we see the ships taking a detour now moving from Cape Town, South Africa as they are now going to avoid the Suez Canal way. This will slash down the arrival of the goods that are to be transported to the US and other parts of the opposite side leading to a number of losses.