Houthi Blockade on Saudi Red Sea Oil Transits Threatens to Widen War, Strangle Energy Supply
The Houthi rebels in Yemen have declared a maritime embargo on Saudi oil shipments transiting the Bab el-Mandeb Strait, escalating the ongoing conflict between Iran and the U.S. and its allies. This move threatens to compound global energy shortages already caused by Iran's closure of the Strait of Hormuz and the U.S. blockade on Iranian ports. Saudi Arabia had diverted oil exports to its Red Sea port of Yanbu to bypass Hormuz, but the Houthi blockade now risks cutting off that route. The Houthis acted after Iran reportedly requested them to close the Red Sea oil route if U.S. strikes Iranian infrastructure. Meanwhile, Iran continued attacks on Kuwait and Bahrain, and the U.S. conducted a ninth day of strikes on Iranian military assets. Analysts warn that simultaneous closure of both straits could cut global oil supply by up to 17%, a 'sum of all fears' scenario for energy markets.
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