There is no need to expect a permanent shortage of goods in Hungary due to the Red Sea crisis

By: Trademagazin Date: 2024. 02. 06. 11:49

In recent weeks, it was not pirates but rebels fighting for their own goals that attacked merchant ships in the Middle East, causing serious economic consequences.

According to Attila Mihály, the head of Trans-Sped’s air and sea transportation department, the situation is extremely significant, as it affects almost the entire world economy, but at the same time, there is no need to fear a permanent shortage of goods in Hungary. Houthi rebels in Yemen began attacking merchant ships in the Gulf of Aden in early December, extending their attacks to the Red Sea as well. Such attacks, which are carried out by anti-aircraft missiles and drones, cause severe disruption to international maritime trade. The Red Sea is a critical route for international shipping, and the threat posed by insurgents forces ships to bypass Africa, resulting in significant delays in shipments. As a result, we are experiencing the largest drop in the history of daily traffic on the Suez Canal. The automotive industry is also affected by the developments, and through the example of the Hungarian Suzuki factory, we can see how the attacks affect industrial production. Due to the late delivery of parts from the Far East, the Suzuki factory suspended work for six days. However, this is only the tip of the iceberg, as the slowdown and increase in the price of international goods traffic has a wide-ranging effect on goods stocks and prices.