"Iran Pressures Houthis to Prepare Attacks on Red Sea Shipping"... Energy Market Turmoil Rises [US-Iran War]

Importance of the Red Sea Rises After the Closure of the Strait of Hormuz

Red Sea Routes Have Helped Limit Oil Price Increases

A Blocked Red Sea Would Further Disrupt the Global Energy Market

Bloomberg reported on the 30th (local time) that "Iran is pressuring the Yemeni Houthi rebels to prepare to resume attacks on ships in the Red Sea in case the war with the United States escalates."

On the 27th (local time), during a pro-Iran rally held in Sanaa, Yemen, a Houthi rebel was seen patrolling while holding a machine gun mounted on a pickup truck. Abdul Malik al-Houthi, leader of the Yemeni Houthi rebels, stated in a televised speech that he would not hesitate to engage militarily to support Iran if necessary, depending on the situation. Photo by EPA Yonhap News

The outlet, citing European officials familiar with the matter, stated, "After the Houthi leadership, a militant group backed by Iran, launched ballistic missiles toward Israel last weekend, they are now considering options for even more aggressive military actions."

It continued, "However, sources said there are disagreements within the Houthi leadership over the scale of the attacks, and this is one reason the Houthis joined the war only after more than a month had passed since it broke out." European officials told Bloomberg, "The hardliners within the Houthis want broader attacks, but the moderates are resisting. The decision to target Israel last weekend appears to have been a compromise between the divided factions."

On the 28th, the Houthis announced in a statement that they would continue military operations until attacks by the United States and Israel against Iran, Lebanon's Hezbollah, and other proxy forces cease. At that time, they did not explicitly mention targeting oil tankers or other ships passing through the Red Sea.

In contrast, U.S. and Saudi Arabian officials told European allies that the Houthis appear, for the time being, to be avoiding additional attacks on U.S. and Saudi assets. Bloomberg reported that it requested confirmation from the Saudi government and a spokesperson for the White House regarding this matter, but did not receive a response.

If Houthi attacks on ships in the southern Red Sea and near the Bab el-Mandeb Strait intensify, the global energy market is expected to face even greater turmoil. Since the start of the conflict at the end of last month, Iran has effectively closed the Strait of Hormuz, making this route even more crucial. Saudi Arabia has been increasing its oil exports through the Yanbu port on the Red Sea coast. The Bab el-Mandeb Strait is the fastest route for ships carrying Saudi oil to Asia, its largest customer. These alternative routes have so far played a role in limiting the rise in oil prices.

As the Houthi rebels threatened the Bab el-Mandeb Strait, international oil prices rose again on this day. West Texas Intermediate (WTI) crude futures exceeded $100 per barrel for the first time since 2022.

When the war broke out between Israel and Hamas in Gaza at the end of 2023, the Houthis used solidarity with Palestine as justification to block Western ships from passing through the southern Red Sea and Gulf of Aden. Their attacks continued until the ceasefire in Gaza in October last year.

However, Bloomberg added that the Houthis are not an organization that acts solely on orders from the Iranian government. The outlet reported, "The Houthis make their own strategic calculations and are wary of provoking large-scale retaliation from the United States or Israel, especially as they are still recovering from damages caused by previous bombardments." The United States has been attacking the Houthis since January last year, but as the costs mounted for the U.S. government, both sides agreed to a ceasefire in May last year.

This content was produced with the assistance of AI translation services.