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Red Sea attacks force BHP to reroute some shipments to Cape of Good Hope
World News
25-01-2024 | 06:24
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Red Sea attacks force BHP to reroute some shipments to Cape of Good Hope
Australian mining giant BHP said on Thursday that disruptions in the Red Sea are forcing some shipping companies to take alternative routes, such as the Cape of Good Hope around Africa, while others still prefer the Red Sea with additional controls.
The world's largest listed mining company added in a statement, "The Red Sea is one of the major shipping routes in the world. However, the majority of BHP shipments do not pass through this route," and there have been no significant disruptions in business so far.
This follows reports from companies like the major oil companies BP and Shell, which temporarily stopped using the Red Sea as Houthi attacks allied with Iran on commercial ships disrupted trade between Europe and Asia.
Some shipping companies have issued instructions for ships to avoid the Red Sea and use the Cape of Good Hope route to reach the West, a slower and more costly route.
Earlier on Thursday, the Wall Street Journal reported that BHP is rerouting almost all of its shipments from Asia to Europe away from the Red Sea amid the attacks there.
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