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APAC Energy Buzz: Suez blockage highlights Asia’s vulnerability to disruptions

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30 March 2021

APAC Energy Buzz: Suez blockage highlights Asia’s vulnerability to disruptions

Report summary

Asia’s economies are intimately linked to global maritime trade and hugely vulnerable to disruptions on key routes. The smooth and timely flow of goods remains dependent on a small number of narrow, highly congested and strategically vulnerable pinch points, as the nearly week-long blockage of the Suez Canal has highlighted. Even with traffic through the canal resuming, will there be any ongoing impact on energy supplies into Asia? Will there be wider economic fallout? And what might this mean for alternative transport routes in the future?

Table of contents

  • The economic impact on Asia and potential upside for rail
  • Suez less critical to crude oil imports, but supports Asia’s product exports
  • Blockage again highlights risks to LNG transit into Asia

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