On March 28, the Houthi organization, also known as Ansar Allah, launched two ballistic missiles at southern Israel, marking their first military operation in support of Iran’s conflict against the US and Israel. Both missiles were intercepted. Houthi spokesman Yahya Saree claimed that this operation was coordinated with actions by Iranian forces and Hezbollah in Lebanon. The Houthis’ involvement signifies that the Iran-led alliance is now largely united against Israel, except for weakened Palestinian factions. While Houthis have conducted missile and drone strikes against Israel before, their most notable impact has been on maritime shipping, particularly in the Bab el-Mandeb Strait, which is crucial for global trade. Attacks on shipping routes have the potential to disrupt Saudi oil exports significantly, as Saudi Arabia has been rerouting oil shipments due to other maritime threats.
Why It Matters
The Houthis’ entry into the conflict raises concerns about the security of the Bab el-Mandeb Strait, through which 10%-12% of global trade transits. Their previous attacks on commercial shipping led to a 90% decline in traffic during the Gaza War, forcing ships to take longer routes around Africa. The Strait of Hormuz, another critical maritime passage, has been effectively closed to commercial shipping, making Bab el-Mandeb a vital alternative for oil exports, especially from Saudi Arabia. With the potential for renewed Houthi attacks on shipping, there are serious implications for global oil markets, as demonstrated by a recent surge in oil prices following the missile strikes on Israel.
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