Siemens sees partial restrictions in supply chains due to Red Sea crisis

Business & Economy January 18, 17:52

Many companies decided to redirect vessels to Europe along the Cape of Good Hope in South Africa instead of the Suez Canal

BERLIN, January 18. /TASS/. Siemens is feeling the impact of the situation in the Red Sea and is exploring alternative options for deliveries of components, a spokesperson of the German electrical giant told TASS.

"As many other companies, we see partial restrictions in our supply chains at the moment. Our employees are already working with suppliers on alternative to eliminate potential disruptions of supplies. We continue keeping a close eye on the situation," Siemens said.

Many companies decided to redirect vessels to Europe along the Cape of Good Hope in South Africa instead of the Suez Canal. This route takes 10-14 days more and increases costs. As a result, certain European companies faced shortages of components not delivered in time.

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