According to government figures, the disruption in maritime traffic has cost Egypt at least $7 billion in lost canal revenues so far in 2024.
Revenues from Egypt's Suez Canal dropped by nearly 6% year-on-year in Q1 2025, totaling around $904 million, as continued instability in the Red Sea hampers global shipping routes.
Despite the quarterly decline, there was a notable rebound in March. Revenues rose by 29% to $335.6 million, up from $260 million in February, according to data shared by the Suez Canal Authority during a press conference on Wednesday.
The decline highlights the lasting impact of Houthi attacks on commercial vessels, which began after the onset of the war in Gaza in late 2023.
Although Egypt has not been directly targeted, the Yemeni-based militant group’s actions have effectively closed off key parts of the southern Red Sea and Gulf of Aden to much of Western shipping, forcing vessels to reroute away from the canal.
However, with the escalating trade war between China and the USA, along with the former’s increasing of tariffs, the Suez Canal is expected to see additional traffic as Asian and European trade is expected to grow to mitigate US tariffs.
The canal is a critical source of foreign currency for Egypt's $380 billion economy, which is already under strain from a weakened currency that hit an all-time low earlier this month.
According to government figures, the disruption in maritime traffic has cost Egypt at least $7 billion in lost canal revenues so far in 2024.
From July 2024 to March 2025—the first nine months of the current fiscal year—the Ministry of Finance estimates losses at around 110 billion Egyptian pounds, or approximately $2.15 billion.
