Suez Canal: Container ship Ever Given runs aground in Egypt causing traffic congestion

Ship tracking data on Refinitiv Eikon showed that the tugs around the ship facing Rotterdam, which appeared on the tracking maps, were still grounded.

The 200,000-ton ship bound for the Red Sea to the Mediterranean Sea ran aground at approximately 7:40 AM (05:40 GMT) on Tuesday after the vessel blacked out, port agents GAC said on its website.

GAC said 15 other ships in the convoy heading north behind the ship were being held at anchorages pending the clearing of the canal. A southbound convoy was also blocked, he said.

The container ship, the Ever Given, is 400 meters long (1,312 feet), 59 meters wide (193 feet) and can transport up to 20,000 20-foot equivalent (TEU) sea containers.

The Suez Canal Authority (SCA) could not be immediately reached for comment.

According to the SCA, nearly 19,000 ships, or an average of 51.5 ships per day, with a net tonnage of 1.17 billion tons passed through the canal by 2020.

About 12% of world trade volume passes through the artificial channel, a major source of hard currency for Egypt.

Tankers are starting to pile up near the Suez Canal while they wait for the container ship to be moved.

“This can have a major impact on freight traffic. If it takes longer, it can lead to shipping delays in both directions,” said a Singapore-based ship broker.

The impact on oil and gas flows will depend on how long it takes to empty the container ship, industry sources say.

“Of course, if it stretches to weeks, it will disrupt all shipping on a large scale,” said Ashok Sharma, general manager of Singapore-based shipping agent BRS Baxi.

“But I think there should be enough resources available and pretty much nearby to resolve the situation quickly, in days rather than weeks,” said Sharma.

Two LNG carriers are tied to the canal and cannot pass through and six may swell by Thursday, a second Singapore-based shipbroker.

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