Suez Canal saga continues: IKEA, Lenovo products still trapped

Hundreds of millions of dollars worth of goods remains trapped on the ship (Source: AAP/Getty)

While the Suez Canal is no longer being blocked by the Ever Given, the crisis has continued in court, leaving hundreds of millions of dollars in merchandise in limbo.

Several companies are in an ongoing legal battle in an attempt to recover goods that have been trapped on the impounded container ship.

The goods are worth around $780 million and include global brands like IKEA and Lenovo. Smaller companies like UK bicycle maker Pearson 1860 and Snuggy also have products stuck on the ship.

Pearson 1860 director Will Pearson anticipates the product could be trapped for years.

"We don't hold out much hope of seeing our stock this year and although it is insured in transit, we have guessed there will be little chance of seeing a settlement for months if not years," Pearson told CNN Business.

The Ever Given was impounded by an Egyptian court, along with the 18,300 cargo containers on board after the Suez Canal Authority filed a $1.19 billion compensation claim against the Japanese ship owner.

The ship ran aground in a narrow section of the busy trade canal, causing traffic to be blocked for six days.

Companies with products on the ship said they have so far been left in the dark about what is going to happen to their goods while the legal proceedings continue.

And it’s not just the product stuck on the ship that is concerning the companies; they may be on the hook for part of the settlement as well, due to a maritime principle known as general average.

‘General average’ establishes that all sea cargo stakeholders (owner, shipper, etc.) evenly share any damage or losses that occur because of a voluntary sacrifice of part of the vessel or cargo to save the whole in an emergency, according to BDP international.

The basis behind this principle is that a party who has suffered extreme financial loss in order to save property belonging to others has the right to be compensated for that loss.

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