Why did the closure of the Suez Canal from 1967 to 1975 hurt trade in Djibouti city?

The closure of the Suez Canal from 1967 to 1975 significantly hurt trade in Djibouti city because the city’s economy relied heavily on its role as an entrepôt and a refueling and supply station for international maritime traffic.1

As a free port situated on the Gulf of Tadjoura, Djibouti city served as a critical link for trade between Ethiopia and the Red Sea. When the canal was closed, shipping traffic through the region decreased substantially, directly reducing the volume of goods and vessels passing through the port. This disruption undermined the city's primary economic function, as the decline in maritime activity limited the demand for the refueling and supply services that sustained the port's operations.12