Houthi Red Sea threat: Ikea faces delays, possible supply shortages

livemint.com:

Ikea said it faces delays and possible shortages of some products as shipping firms reroute cargo vessels away from the Red Sea following attacks by Houthi militants. The Swedish flat-pack furniture giant said it’s looking for other options to secure the availability of its products, many of which normally pass through the body of water and the Suez Canal on their way from factories in Asia to Europe and other markets.

“What we can share for now is that the situation in the Suez Canal will result in delays and may cause availability constraints for certain Ikea products," Oscar Ljunggren, a spokesperson for Inter Ikea Group, said in response to emailed questions. The company remains in close dialogue with transportation providers “to ensure the safety of people working in the Ikea value chain and to take all the necessary precautions to keep them safe," he said.

Ikea doesn’t own container vessels, and the company’s transportation partners manage all its shipments, Ljunggren said. The company declined to disclose details on shipments or products that are moved through the Suez Canal, citing safety and competitive reasons.