Blocked Suez Canal causes further Disruptions in Electronic Supply Chain

Suez Canal Electronic Components

On Wednesday, 24 March, the cargo ship „Ever given“ got stuck in the Suez Canal. It was pushed sideways by strong winds and hit the ground in the passageway. Since then, the vessel is blocking one of the most important shipping routes in the world.

The Evergiven is currently one of the biggest cargo ships. It is 400 meters long, about 60 meters wide, and weighs more than 220,000 tons. The ship was built in 2018 and is operated by Taiwanese company Evergreen Marine.

According to a statement by the ship management company Bernhard Schulte Shipmanagement (BSM), all 25 workers on board the Evergiven are safe and in good health. Dredgers and tugboats are trying to re-float the vessel, to regain manoeuvrability. However, this will take up to several days.

The 120 miles long Suez Canal is one of the most important cargo routes in the world. It was built over 150 years ago, and in 2020, around 19,000 cargo ships passed through it.

Around 10% of the global cargo volume moves through the Suez Canal, which proves its significance.

According to Bloomberg, already more than 100 ships have accumulated in the canal, waiting to pass through. Each day that the Evergiven is stuck, this number will increase even further.

You can access a live map of the are via marinetraffic.com

Of course, this also affects the shipment of electronic components. The already tight supply chain situation for semiconductors or passive components, that has caused a variety of manufacturing companies, such as Mercedes-Benz, Honda or Lenovo to limit production, will certainly not be influenced positively by this incident.

Image credit: EPA

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