The company made the decision even though the Houthis are unlikely to attack its ships in the Red Sea because of economic and political ties between China and Iran, which supports the Yemeni rebel group, the report read.
Cosco's decision will significantly affect trade between Israel and the Far East, the newspaper reported, adding that the Israeli shipping company ZIM, which works closely with COSCO, may face higher transportation costs as it will have to increase the number of ships operating on the Far East routes.
The disruption to maritime trade routes led to the formation of a US-led maritime coalition to provide security for ships navigating through the region.