Attacks and threats around the Strait of Hormuz, Red Sea, Black Sea, and Sea of Azov are disrupting commercial shipping routes. Roughly 80% of global merchandise trade by volume moves by sea, so chokepoint disruption can affect energy, food, and consumer goods prices.
The Strait of Hormuz is rattling global trade, but the waterway is just one example of a vital maritime corridor becoming a frontline in a new age of drones and missiles targeting economic lifelines.
Drones are changing maritime warfare: David Roche, president of Quantum Strategy, noted that the Sea of Azov has become a new chokepoint and a new war, where Ukrainian drones are striking Russian tankers.
Quantum estimates that about 25% of Russia's grain exports and 25% to 30% of its Black Sea oil exports could be disrupted, which could have significant implications for global food prices.
The challenging security environment is forcing shipping companies to reconsider their routes, increase insurance costs, and create inventory buffers.
Moreover, the Strait of Hormuz and Bab el-Mandeb, which are at the center of the conflict, now require new strategies for navigation.
