A massive cargo vessel that ran aground in the Suez Canal blocking maritime traffic has been partially refloated and ships are again traversing the key trade route, port agent GAC and witnesses reported on Wednesday.
The 220,000-tonne Ever Given cargo ship was hit by sandstorms and 40-knot (74 kph) winds on Tuesday blowing it off course and leaving it stuck across the canal, blocking the trade route.
Taiwan-based Evergreen Line, the time charterer of the vessel, said wind had blown the vessel off course while GAC previously reported that the vessel suffered a power failure.
Excavators tried to dig out at both ends of the ship while a flotilla of tugboats assembled in the area to pull the ship back into the navigation channel.
The largest tug deployed to the site was the Baraka 1 that has four 3,990 horsepower engines and can tow 160 tonnes.
The Ever Given was heading from the Red Sea to the Mediterranean en route to Rotterdam when it ran aground at about 7.40am on Tuesday.
Shipping source told Reuters that the first ship from the northern convoy of the Suez Canal had departed after the Ever Given was cleared on Wednesday.
The company that owns the vessel reported no injuries, no pollution leakages or major damage.
Track the 'Ever Given' live:
"There have been no reports of injuries, pollution or cargo damage and initial investigations rule out any mechanical or engine failure as a cause of the grounding," Bernhard Schulte Shipmanagement, which is the technical manager of the Ever Given.
Canal authorities said they would "spare no effort to guarantee the flow of shipping in the channel" as they redirected ships.
“There is no need to worry about the flow of shipping,” Gen Osama Rabie, chairman of the Suez Canal Authority, told local news outlets.
He said that shipping was still able to navigate the Suez Canal despite the container running aground just north of Suez.
“I am now at the location of the vessel to follow up on efforts to refloat it. The movement of vessels will continue today in the canal’s main channel,” he said.
Gen Rabie’s assertion that the incident did not block traffic in the canal contradicts numerous reports, including some from eyewitnesses, that it did. There was no immediate explanation for the discrepancy.
Bloomberg reported that more than 100 ships seeking to use the canal were stuck at anchorages waiting for the ship to clear.
Canal officials initially told local media it may take up to two days to free the ship.
The Ever Given is 400 metres long, 59m wide, and can carry up to 20,000 20-foot equivalent shipping containers.
Instagram user Julianne Cona posted a photo of the grounded ship from the Maersk Denver, stuck behind the Ever Given.
"Ship in front of us ran aground while going through the canal and is now stuck sideways," she wrote. "Looks like we might be here for a little bit."
Oil tanker traffic also appears affected.
According to Tanker Trackers, a service that tracks the maritime movement of oil and goods, oil cargoes from Russia, Oman, Saudi Arabia and the US are backed up in the canal.
The canal carries an estimated 8 per cent of global LPG cargoes, liquefied petroleum gas used in cooking, some converted vehicles and refrigeration.
The Suez Canal, dug more than 150 years ago, is one of the world's most important trade routes.
Nearly 19,000 ships, or an average of 51.5 ships per day, with a net tonnage of 1.17 billion passed through the canal during 2020, to according to the Suez Canal Authority.
About 12 per cent of the world trade volume passes through the man-made canal, which is a major source of hard currency for Egypt.
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Gallery: The Suez Canal through the years
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%3Cp%3E%3Cstrong%3EName%3A%20%3C%2Fstrong%3EMaly%20Tech%3Cbr%3E%3Cstrong%3EStarted%3A%3C%2Fstrong%3E%202023%3Cbr%3E%3Cstrong%3EFounder%3A%3C%2Fstrong%3E%20Mo%20Ibrahim%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20Dubai%20International%20Financial%20Centre%3Cbr%3E%3Cstrong%3ESector%3A%3C%2Fstrong%3E%20FinTech%3Cbr%3E%3Cstrong%3EFunds%20raised%3A%3C%2Fstrong%3E%20%241.6%20million%3Cbr%3E%3Cstrong%3ECurrent%20number%20of%20staff%3A%3C%2Fstrong%3E%2015%3Cbr%3E%3Cstrong%3EInvestment%20stage%3A%20%3C%2Fstrong%3EPre-seed%2C%20planning%20first%20seed%20round%3Cbr%3E%3Cstrong%3EInvestors%3A%3C%2Fstrong%3E%20GCC-based%20angel%20investors%3C%2Fp%3E%0A
The specs: 2018 BMW R nineT Scrambler
Price, base / as tested Dh57,000
Engine 1,170cc air/oil-cooled flat twin four-stroke engine
Transmission Six-speed gearbox
Power 110hp) @ 7,750rpm
Torque 116Nm @ 6,000rpm
Fuel economy, combined 5.3L / 100km
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The Brutalist
Director: Brady Corbet
Stars: Adrien Brody, Felicity Jones, Guy Pearce, Joe Alwyn
Rating: 3.5/5
Who's who in Yemen conflict
Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government
Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council
Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south
Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
Abu Dhabi Desert Challenge – Rally schedule:
Saturday: Super Special Spectator Stage – Yas Marina Circuit – start 3.30pm.
Sunday: Yas Marina Circuit Stage 1 (276.01km)
Monday: Nissan Stage 2 (287.92km)
Tuesday: Al Ain Water Stage 3 (281.38km)
Wednesday: ADNOC Stage 4 (244.49km)
Thursday: Abu Dhabi Aviation Stage 5 (218.57km) Finish: Yas Marina Circuit – 4.30pm.