Since the Iran-backed Houthi rebels in Yemen stepped up attacks on vessels in the Red Sea bound for Israel in November in response to the war in Gaza, Israel's southern port of Eilat has seen a sharp decline in activity.
However, because much of Israel’s trade is via the Mediterranean Sea, the country’s domestic market has not been badly impacted. But that may have changed this week after COSCO, a shipping company owned by the Chinese government, notified importers and exporters that it is halting all ships bound for Israel. Several shipping companies have said they would divert from their Red Sea routes as a result of the Houthi attacks.
On Tuesday, the Israeli publication Globes reported that Chinese Ambassador to Israel Cai Rong was summoned to a meeting at the Ministry of Foreign Affairs, citing a source familiar with the matter.
Reuters reported Tuesday that the Israeli Transportation Ministry was working to clarify when COSCO had decided to halt shipping to Israel. "The Administration of Shipping and Ports is working with the relevant parties to clarify the Chinese shipping company's announcement to stop sailing to Israel," the ministry stated.
