The Suez Canal Authority announced Tuesday a reduction of up to 15% in transit fees for ships, aiming to incentivize major shipping lines to resume using the vital waterway.
Authority Chairman Lieutenant General Osama Rabie stated the 90-day discount seeks to encourage a return to the Suez Canal, citing improved security and relative calm in the Red Sea.
The discounts will apply to container ships with a net tonnage of 130,000 tons or more, whether loaded or empty, starting May 15, 2025. Lieutenant General Rabie noted the decision followed requests from ship owners and operators and reflected the improved Red Sea security situation.
The Suez Canal Authority emphasized its flexible approach to regional challenges and its commitment to supporting global maritime trade.
This move follows a previous call on May 9 from Lieutenant General Rabie urging shipping lines to reconsider canal transit after a ceasefire agreement between the Houthi group and the United States.
The Suez Canal, a key link between Europe and Asia, has experienced declining revenues and increased insurance costs since November 2023 due to attacks on commercial vessels in the Red Sea and surrounding waters by the Iranian-backed Houthi group. Egypt reported monthly losses of around $800 million in canal revenue due to these disruptions, according to a statement by President Abdel Fattah el-Sisi on March 17, 2025.