Egypt to seek $1 billion in compensation over Suez Canal blockage

Egypt will seek more than $1 billion in damages after a massive container ship had blocked the Suez Canal and disrupted global trade for nearly a week, said Lt. Gen. Ossama Rabei, head of the canal authority, Report informs, citing Daily Sabah.

He said in a phone interview with a pro-government TV talk show on Wednesday that the amount takes into account the salvage operation, costs of stalled traffic, and lost transit fees for the week that the Ever Given had blocked the Suez Canal.

“It’s the country’s right,” Rabei said, without specifying who would be responsible for paying the compensation. He added that in the past, canal authorities and the ship's owners have had a good relationship.

The massive cargo ship is currently in one of the canal's holding lakes, where authorities and the ship's managers say an investigation is ongoing.

On the morning of March 23, the 400-meter container ship Ever Given ran aground and blocked traffic on the Suez Canal. In the afternoon of March 28, the ship was returned to the fairway and traffic along one of the busiest sea crossings resumed. Every day of the channel downtime cost the world trade $400 million.