In a strategic move to rejuvenate maritime traffic and counteract revenue declines, Egypt’s Suez Canal Authority (SCA) has announced a 15% discount on transit fees for large container ships. This incentive applies to vessels with a Suez Canal Net Tonnage (SCNT) of 130,000 metric tons or more, regardless of whether they are laden or empty. The discount will be effective from May 15, 2025, for a period of 90 days.
The initiative comes in response to a significant drop in canal revenues, which fell to $880.9 million in the fourth quarter of 2024 from $2.4 billion in the same period the previous year. This decline was largely attributed to security concerns stemming from Houthi rebel attacks on commercial vessels in the Red Sea and Bab al-Mandab Strait.