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Suez Canal Sinks Global Pockets by 63000000000$

Suez Canal's revenues were taking a $14m-$15m (£10.2m-£10.9m) hit for each day of the blockage.-Suez Canal Authority Chairman Osama Rabie

The Ever Given ship that had been wedged in the Suez Canal since Tuesday,March 23, has finally been freed from the shoreline, thus giving a sigh of relief to the world economy.But the blockage has slowed the world economy and has caused loss in billions of dollars which may increase in estimates in the near future, thus causing a rippling effect .

How big is the ship ?

The Ever Given is about 400m-long (1,312ft) and weighs about 200,000 tonnes, with a maximum capacity of 20,000 containers. It is currently carrying 18,300 containers.Thus making it one of the largest container ships in the history to cross the Suez canal.

Who's the owner of this ship?

MO: 9811000


Vessel Type - Generic: Cargo - Hazard A (Major)

Vessel Type - Detailed: Container Ship

Status: Active

Flag: Panama [PA]

Year Built: 2018

Home Port: PANAMA

Builder: Imabari Shipbuilding

What's the issue?

The Ever Given became stranded on Tuesday, after running aground and becoming lodged sideways across the Suez canal on March 23, blocking 369 ships waiting to cross the either side of the canal. At first a wind gust was to blame,But the Wind Speed Authority found that the wind speed was at 40 knots at that time , thus indicating any chances of other errors, which was to be found out by a probe launched by the Egyptian Authorities.

Meanwhile, there have been more than 145,200 social interactions on Twitter using the #SuezBLOCKED hashtag and at least 133,000 shares, according to real-time analysis by brand monitoring platform BrandMentions.

What Happens Next ?

The Ever Given Ship was successfully re-floated after a constant ,daring effort of 6 days at 15:05 local hours on March 29th and hence the world heaved a sigh of relief "initially",not knowing the economic losses that are about to come in the coming months.

How Much Did It Cost?

Suez Canal Authority Chairman ,Osama Rabiey,says that the canal blockade has costed about 14m$ to 15m$ per day of the blockade,thus making it one of the costliest accidents in history.

Separately, data from Lloyd's List showed the stranded ship was holding up an estimated 9.6bn$ of trade along the waterway each day. That equates to 400m$ and 3.3 million tonnes of cargo an hour, or 6.7m$ a minute.

Looking at the bigger picture, German insurer Allianz said on Friday its analysis showed the blockage could cost global trade between 6bn$ to 10bn$ a week and reduce annual trade growth by 0.2 to 0.4 percentage points.

Shipping broker Braemar ACM told the Wall Street Journal that the cost of renting some vessels to ship cargo to and from Asia and the Middle East had jumped 47% to 2.2m$.

Some vessels have been rerouted to avoid the Suez Canal. That is adding around eight days to their total journeys.

The Bottom Line

This accident is one the worst accidents in the global economic history which has lead to losses of billions across the globe and has slowed down the world's economy which had already been damaged by the COVID 19 pandemic .This accident might had happened due to human errors or nature's fury ,but such accidents shouldn't be repeated in this compromised state.

Falling of economic graph.
Depreciation in Economy

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