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Israeli ship seized by Yemen in Red Sea raises fear of shipping chaos

  • By Al Mayadeen English
  • Source: Bloomberg
  • 20 Nov 2023 15:30
  • 1 Shares
3 Min Read

Japanese Chief Cabinet Secretary Hirokazu Matsuno confirms that his government is currently collecting information as well as interacting with "Israel", Yemen, Saudi Arabia, Oman, and Iran to release the vessel.

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  • The Galaxy Leader is seen at the port of Koper, Slovenia on Sept. 16, 2008. (AP)
    The Galaxy Leader is seen at the port of Koper, Slovenia on Sept. 16, 2008. (AP)

The vessel seized by Yemen in the Red Sea, the Galaxy Leader, is now escalating concerns that shipping disruptions and chaos may arise in the region.

The seized ship, the Galaxy Leader, is linked to a British company, according to media reports, which is partially owned by the Israeli businessman Abraham Ungar, commonly known as "Rami", and chartered by Japanese firm Nippon Yusen.

According to Tokyo-based Nippon Yusen KK, the Galaxy Leader was a car carrier and the firm is currently unaware of its whereabouts. It has a crew of 25 and is allegedly carrying no cargo.

This comes after the official spokesperson for the Yemeni Armed Forces, Brigadier General Yahya Saree, announced on Sunday that the Yemeni Naval Forces carried out a military operation in the Red Sea, resulting in the seizing of the ship.

'A very serious event'

Saree stressed that the crew of the Israeli ship would be treated in accordance with the teachings of Islam, renewing the warning "to all ships belonging to the Israeli enemy and those dealing with it that they will become a legitimate target for us."

Read next: Ship seized by Yemen exposed vulnerabilities in Israeli economy

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Commenting on the incident, a spokesperson for the Israeli occupation's army described the Yemeni operation as "a very serious event."

Israeli media said that the Ansar Allah "continue to challenge Israel and have taken control of an Israeli ship," confirming that "the ship belongs to the Israeli businessman Rami Unger, was carrying cars, and was making its way from a port in southern Turkey to a port in western India."

The seizure of Galaxy Leader, despite possibly not having an Israeli crew, signifies a major blow to Ungar's interests. This incident has sent shockwaves through the Israeli business community, highlighting the vulnerabilities faced by Israeli-owned assets in contentious regions.

A soar in gas prices

In light of that, European natural gas prices soared as a result of fears in one of the world’s busiest shipping routes. Kenneth Loh, a Bloomberg intelligence analyst covering shipping and logistics, called the incident a “significant escalation of tensions”.

“Some shipping companies may decide to circumvent the region for safety reasons, which means additional costs and delays,” he noted, adding, “This could lead to a knock-on effect across global supply chains reminiscent of pandemic-era congestion and supply-chain chaos.”

The Red Sea route, per Japanese trade minister Yasutoshi Nishimura, is intended for transporting goods, so problems there could affect the nation’s economy, as he stressed that despite there being no direct impact, Japan is keeping an eye out for supply chains and inflation with urgency.

Chief Cabinet Secretary Hirokazu Matsuno confirmed on Monday that his government is currently collecting information as well as interacting with "Israel", Yemen, Saudi Arabia, Oman, and Iran to release the vessel.

Matsuno claims that the crew members hail from Bulgaria, Ukraine, Romania, Mexico and the Philippines, noting that cargo was unloaded at a port in Turkey and was headed to the Pipavav terminal on the coast of India.

Read more: Hezbollah's Russian P-800 Oniks missiles threaten US warships: Report

Nippon Yusen remains undecided regarding the measures for other vessels that may pass through the Red Sea.

  • Japan
  • Palestine
  • Israel
  • Yemen
  • Gaza
  • Galaxy Leader

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