Bunker fuel sales in Singapore have reached record highs as ships take longer routes around the southern tip of Africa to avoid the Red Sea, the U.S. Energy Information Administration said on Wednesday.
The reroutings come in direct response to attacks from Yemen-based Houthi militia that began in November 2023.
The new routes, which often involve rounding Africa’s Cape of Good Hope, add thousands of miles and weeks of travel time.
Consequently, the number of ships transiting the Suez Canal has decreased by about half compared to a year ago. Data from the International Monetary Fund’s Portwatch tool show a decrease from around 75 vessels to about 35 compared with the same time period a year ago.
According to the Maritime and Port Authority of Singapore, bunker fuel sales in Singapore, the world’s largest bunkering port, have increased year over year from December 2023 through the first quarter of 2024. The surge reached an all-time high in December 2023, with more fuel being sold in Singapore than in any other port worldwide.
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