ZIM Integrated Shipping Services, a major Israeli shipping company, has seen an unexpected financial boost linked to the Houthi attacks on shipping in the Red Sea.

Following the attacks, ZIM and other shipping companies began rerouting their vessels to avoid the Red Sea, opting for longer, more fuel-intensive routes.

These additional fuel costs are passed on to consumers, and according to reports, the price hikes charged to consumers often exceed the actual additional expenses incurred by the shipping companies. As a result, ZIM has not only covered the extra costs but has also seen a significant increase in profits.

Yemen’s Iran-backed Houthi group has been disrupting global trade by targeting ships in the Red Sea corridor since the October 7 attacks, threatening to attack vessels heading to Israeli ports, even those not passing through the Red Sea, and have claimed responsibility for missile and drone attacks targeting Israel.