Red Sea Security Risks Alter Trade Flow

Shipping in the Red Sea faces disruptions due to floods, raising concerns about increased delivery costs and rising prices of goods. Oil and natural gas are heavily affected, with 12% of oil and 8% of natural gas trade passing through the Red Sea. Satellite imagery provides a comprehensive view of flood-affected areas, enabling officials to identify alternative and cost-effective routes for shipping vessels to avoid flood-affected areas, thus reducing the negative impacts on shipping costs and commodity prices.