Houthis warn of Red Sea blockade that could disrupt Saudi oil shipments
The Iran-backed Houthi group announced plans to block Saudi Arabia's Red Sea oil route, prompting some tankers to reroute and raising concerns about higher shipping costs and supply risks.
The Houthi movement in Yemen issued a statement on Monday threatening to block Saudi Arabia's use of the Red Sea for oil exports. Since March, Saudi producers have been sending millions of barrels daily through a pipeline to the Bab al-Mandab strait, where tankers load the cargo for Asian markets.
Maritime data firm Kpler reported that two tankers heading for the strait reversed course and headed north toward the Suez Canal, suggesting the threat may already be influencing shipping decisions. Rerouting through the canal is more expensive and operationally complex.
Kpler also noted that the number of crude carriers in the Red Sea rose to more than 93 on Tuesday, up from about 50 before the regional conflict escalated. Saudi exports via the Bab al-Mandab have surged to roughly 3.6 million barrels per day, compared with less than one million barrels per day prior to the war. The majority of this oil is destined for South Korea, Japan, China and other Asian buyers.