LNG carriers are completely avoiding the Suez Canal, no transportation for 65 days

New data released by the United Nations Conference on Trade and Development (UNCTAD) reveals that no LNG carrier has traversed the Suez Canal in over two months.

The last LNG vessel to navigate through the Egyptian waterway did so on January 16th. Since then, due to the deteriorating security conditions in the Red Sea, there has been a significant diversion of gas carriers around the African continent.

Among all the primary commercial shipping sectors, LNG shipping notably stands out for entirely avoiding the Suez Canal in recent months, as illustrated by the UNCTAD chart below.

According to the International Monetary Fund, overall trade volumes passing through the Suez Canal witnessed a staggering 50% decline year-on-year in the first two months of 2024. Conversely, trade rerouted around the Cape of Good Hope experienced an estimated surge of 74%.

Last year, Suez Canal transits contributed $10.25 billion in revenues for Egypt. However, the Suez Canal Authority has acknowledged that this figure could plummet to approximately $5 billion this year.

Recent data from Clarksons Research indicates that the total arrivals of vessels in the Gulf of Aden, across all types of merchant ships, are currently 72% lower than the levels recorded in the first half of December.