Egypt suffers a loss of about US $ 14-US $ 15 million every day following the incident of the Ever Given ship being stuck in the Suez Canal thus blocking the trade route.
About 12% of global trade is conducted through the canal as well as providing the shortest route access between Asia and Europe.
According to German insurance company Allianz, the incident is likely to result in losses on global trade of between US $ 6 billion to US $ 10 billion per week and annual trade growth slowing by 0.2 to 0.4 percentage points.
Meanwhile, shipping broker Braemar ACM told the Wall Street Journal that the cost of charging several ships to ship cargo to and from Asia and West Asia jumped 47% this week to $ 2.2 million.
Some ships had to take alternative routes, thus further extending the duration of their voyage to eight days.
The incident not only affected the global shipping industry or the Egyptian economy, but many businesses from domestic transport providers to retailers, supermarkets and manufacturers also received adverse impacts.
The actual amount of damage and cost of losses remains difficult to determine until the Ever Given ship is diverted and trading resumes but many firms will have to make critical decisions if the sanctions continue for another week.
If the situation in the Suez Canal continues, some firms will have to incur substantial costs of three times as much to order planes so that their supplies can arrive more quickly.
The work of diverting the ship is still being carried out by the Egyptian authorities.
