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Three weeks ago, the huge cargo ship Ever Given got stuck in Egypt’s Suez Canal, dividing the passage in half. This incident disrupted global trade that relied on the canal, causing significant delays. Once the Ever Given was freed, it was moved for inspection, but Egypt is holding onto the vessel until compensation for the damages is settled.
A court in Ismailia has authorized the Suez Canal Authority to take temporary ownership of the Ever Given until they are paid approximately $900 million for the losses incurred due to the blockage. The SCA hasn’t specified who will be liable for this amount, but they aim to cover transit fees, canal damage, and expenses related to the ship’s removal.
BREAKING: Egypt announces seizure of ship that blocked Suez Canal, demands nearly $1 billion in compensation.
The Ever Given disrupted global trade in the canal for almost a week, holding up cargo worth almost $10 billion daily. pic.twitter.com/rN0LrFkbGS
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The ship is insured for third-party damages by the U.K. P&I Club, who received a claim for the $900 million. However, the club believes the claim is inflated, including fees like a $300 million “salvage bonus” and $300 million for “loss of reputation.”
The owners of the Ever Given, Shoei Kisen Kaisha Ltd., have not commented on the compensation issue, but confirmed that the crew remains on board as the ship is docked in the Great Bitter Lake.
