Global supply chains have become more important for everyday life since the 1970s, so the impact of the Red Sea disruptions is now much bigger.
Economy
Hawaii has the most expensive gas in the U.S., followed by California and Washington. The cheapest gas prices are in Oklahoma and Gulf Coast states like Mississippi and Texas.
Ethiopia’s Gulf of Aden agreement with Somaliland escalates regional tensions and challenges international maritime law.
If the Houthis can force a prolonged diversion of global trade from the Red Sea, most countries will be hit by the economic impact.
Vietnam needs to improve its energy, training, and soft infrastructure for its economy to grow by at least 6% annually for the rest of this decade.
China’s central government will be forced to wean the country’s economy off its dependence on the real estate sector.
The rerouting of ships as a result of Houthi attacks in the Red Sea is causing shipment delays and increasing costs and carbon emissions.
Apple, Tesla, Nvidia, and other “magnificent seven” stocks have had a great run in 2023, but they face greater headwinds in 2024.
The Ugandan government must consider potential price shocks when designing and negotiating oil agreements.
China’s Belt and Road Initiative continues to expand its global influence, particularly in developing autocracies, leveraging infrastructure and tech investments.