Q&A: The Suez Canal and Egypt's Political Unrest

In this podcast, Senior Editor of Finance and Economics Joseph Bonney talks with Managing Editor Dana L. Brundage about the current status of the Suez Canal and how it and Egypt's ports could be affected by the country's political unrest.

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JOC coverage of the Suez Canal:
 Suez Stays Open, Ports Congested
Carriers Watch Turmoil as Egypt Supply Chains Remain Secure
Container Operation Pick Up in Egypt
Grain Dominates US Exports to Egypt, Analysis Shows

Transcript: 

Q: How closely is the shipping industry following news from Egypt?

A: Very closely, primarily because of the Suez Canal. The canal is a linchpin for east-west trade. Most of the attention has been focused on the impact any disruption in the canal would have for oil. That’s understandable. Most of the lay public probably associates the Suez Canal with tanker traffic. Everyone remembers that when the canal was closed in the late 1960s and early 1970s, tankers from the Middle East had to go around Cape Horn. That resulted in a shortage of tonnage and a sharp increase in tanker rates.