How will global trade be impacted by Red Sea avoidance?

Over the past week, most of the world’s largest shipping firms have said they will avoid the Red Sea and therefore the Suez Canal after Yemen-based Houthi rebels fired missiles at cargo ships over the Israel-Hamas war.

Instead, ships traveling from the Far East to Europe will need to make a detour around the entire African continent, via South Africa’s Cape of Good Hope. The journey will take more than a week longer and will add about 3,500 nautical miles (6,482 kilometers) to the…