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Egypt Impounds Ship That Blocked Suez Canal
Ever Given container ship, operated by the Taiwanese shipping company Evergreen, runs aground in the Suez Canal on March 23, 2021. (Twitter)

Egypt Impounds Ship That Blocked Suez Canal

The ultra-large container ship that blocked the Suez Canal for nearly a week was impounded by Egypt. The 200,000-ton Panama-flagged, Japanese-owned Ever Given was traveling to Rotterdam from China last month when it ran aground vertically in the canal, preventing ship traffic in both directions and costing shippers and the canal billions of dollars a day in lost revenue.

Suez Canal Authority chief Lieut. Gen. Osama Rabie announced on Tuesday that the ship would not be allowed to leave the country until its owner, Shoei Kisen Kaisha Ltd., agrees to pay compensation for the lost revenue.

Possible causes for the accident include high wind gusts and the high speed at which the ship was traveling. The cause was initially reported as a power outage onboard.

Egypt filed a compensation claim for $916 million against Shoei Kisen, Al Jazeera reported. Negotiations over the cost of damages taking place between the company, insurance firms and the canal authority are ongoing, AFP reported.

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