Cosco to stop booking ships into Israel as Houthi threats spiral

Container shipping giant China Cosco Shipping Corp. is to stop delivering goods into Israel because of the threats and attacks that Houthi militants have made against vessels that sail there.

Amir Shani, Deputy president at the Federation of Israeli Chambers of Commerce, an umbrella organization for more than 5,000 businesses, said that Cosco informed his organization’s member firms of the decision. A person with knowledge of the matter confirmed Cosco won’t take bookings into Israel from next week.

The Houthis, siding with Hamas in its war with Israel, are going after merchant ships that have any ties to Tel Aviv, even if those connections sometimes look tenuous at best. The attacks — including drones, missiles and hijackings — have made numerous owners avoid the southern Red Sea and, by extension, Egypt’s Suez Canal. Hundreds of vessels are now sailing around Africa instead.

Cosco’s decision goes a step further and means at least one huge shipping company is now unwilling to send boxloads of goods to Israel.  The Houthis have carried out at least 24 attacks on merchant ships since Nov. 19, according to US Central Command. 

Israeli media reported Cosco’s decision at the weekend. Cosco’s head office in Beijing asked for questions to be sent by email, which wasn’t immediately answered.

No Cosco vessels appear to have been attacked in the southern Red Sea, based on a cross-checking of information from security intelligence firm Ambrey and a shipping database maintained for the International Maritime Organization.

Cosco has a fleet of at least 256 container ships on the water, according to data from Clarkson Research Services Ltd., a unit of the world’s largest shipbroker. That ranks it third in terms of in-service vesseels. It’s fourth when including vessels on order.