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Suez Canal expansion trial successful amid ongoing challenges

3 Jan 2025 16:00 reported by Stanley Wang

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A trial of the newly extended 10-kilometer section of the Suez Canal has been deemed successful, marking a significant milestone in Egypt's efforts to expand the vital waterway. The new extension, near the southern end of the canal, allows two-way ship traffic and increases the canal's dual-lane stretch from 72 to 82 kilometers. This project was partly driven by the 2021 grounding of the Ever Given, which blocked the canal for six days, disrupting global trade.

The Suez Canal Authority estimates the expansion will increase daily capacity by up to eight ships and enhance its ability to manage emergencies. However, the canal faces challenges from Houthi rebel attacks in the Red Sea, which have prompted some shipping companies to reroute around South Africa. President Abdel Fattah al-Sisi reported a 60% revenue drop in 2024, amounting to US$7 billion in losses.

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