(NewsNation) — Furniture retailer IKEA is still planning to drop prices despite shipping disruptions in the Red Sea.
“The commitment from us to do permanent price decreases continues,” said Jesper Brodin, CEO of Ingka Group, which owns most IKEA stores worldwide.
According to Reuters, Ingka Group has invested $1.1 billion in price reductions across its markets from September to November, and aims to continue lowering prices in 2024.
Ikea’s announcement came just days before the Biden administration announced it would relist the Houthi rebel group as a “specially designated global terrorist” entity following its attacks on U.S. military and commercial ships in the Red Sea.
The Houthis have launched approximately 30 drone and missile attacks toward international ships since November 2023.
The Houthis say the attacks are aimed at backing Hamas and Palestinians trapped in the Gaza Strip amid Israel’s war on Hamas.
The U.S. and its allies have carried out three rounds of airstrikes targeting Houthi sites over the last week, to try to deter the militants. However, the Houthis have launched several attacks in the time since, further imperiling ships traveling on a crucial trade route for cargo and energy shipments moving from Asia and the Middle East toward Europe.
