Houthis Open New Front in Iran War by Targeting Ships in Red Sea

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Or sign-in if you have an account.tb84x8dw2hkq56b[z7v}}h0x_media_dl_1.png Bloomberg(Bloomberg) — The Iran-backed Houthis claimed their first attack on commercial ships in recent months, opening a new front in the US-Iran war that has already disrupted global energy supplies and rattled bond markets.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountThe militant group, based in Yemen, said it targeted two Saudi Arabian oil tankers in the Red Sea with missiles and drones.The Saudi government confirmed an attack on one refined-products tanker, called the Encelia. The British navy also said a tanker was struck by a projectile near the Saudi town of Al Shuqaiq in the southern part of the sea. The Houthis said the second vessel was named Layla, which is a crude-oil tanker.While it’s unclear if the ships were hit and damaged, the move could effectively close another maritime chokepoint vital to energy markets, following Iran’s shutdown of the Strait of Hormuz. Some vessels are already avoiding the Bab el-Mandeb strait at the bottom of the Red Sea, while oil prices are rising further.Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againBrent crude jumped 3.8% on Thursday to almost $98 a barrel, taking its gains since July 10 — around when the latest US-Iran flare-up began — to around 30%.The Houthi assault came hours after President Donald Trump said American forces would destroy one bridge or power plant each time Iran shoots at vessels in the Strait of Hormuz.Washington carried out its 12th consecutive day of airstrikes on Iranian military sites overnight, including missile and air-defense facilities. Iran again fired upon US bases and military sites in Kuwait and Jordan.The skirmishes show little sign of easing, with neither the US nor Iran backing down and saying it’s time for new negotiations. The attacks by the Houthis have escalated the conflict further, even if hostilities remain less intense than during the height of the war in March and early April.The Red Sea has emerged as a vital workaround for crude exports, particularly from Saudi Arabia. The port of Yanbu became the main outlet for Saudi oil exports, allowing it to bypass the Strait of Hormuz, through which hardly any vessels are sailing.The Houthis are part of Iran’s Axis of Resistance, a loose alliance of armed groups funded and trained by the Islamic Republic but operate with a degree of autonomy. The Houthis, who control Yemen’s capital, Sanaa, and the Red Sea port of Hodeida, disrupted shipping with drone and missile attacks after Israel began its campaign against Hamas in Gaza in 2023. However, they ended that campaign in May 2025 in a truce with the US, which bombed them along with the UK and Israel.The new Houthi strikes come days after they said they would blockade Saudi ports in response to the kingdom’s attacks on Sanaa. Riyadh carried out an air campaign for around seven years to oust the Islamist group, before the two sides agreed a ceasefire in 2022.Trump has said the US will deal with the Houthis, without saying how or suggesting whether he will restart strikes against them.This advertisement has not loaded yet.This advertisement has not loaded yet, but your article continues below.The president, on Wednesday, said Iran was “getting hit so hard” but wasn’t at the point of seriously considering fresh talks.“They’re not ready to make a deal because every time they make a deal, they want to change it and everything,” he said at a rally in Georgia.The US resumed a naval blockade of Iran soon after the flare-up in fighting about two weeks ago. It also ended a waiver on Iranian oil sanctions.The moves and the skirmishing mean an interim US-Iran peace deal signed in mid-June — designed to lead to negotiations over Tehran’s nuclear program and a permanent peace deal in two months — has all buy collapsed.The US says Iran must reopen Hormuz and stop attacking commercial ships for it to halt its bombing of the Islamic Republic.Iran’s Parliament Speaker Mohammad Bagher Ghalibaf, the chief negotiator with the US, said no country in the Persian Gulf would be able to export oil if Tehran can’t.“The equation of this war is clear: either everyone or no one,” he said on X. “If we cannot sell oil in the region, no one will sell oil.”Iran has warned it will strike infrastructure and bridges in the region, including energy facilities in which the US has interests, if Trump targets more bridges or hits power plants.The economic fallout from the war, particularly high fuel prices, is weighing heavily on Americans as the November midterm elections approach. Trump has received poor marks for his handling of the economy and the conflict, polls show, putting his fellow Republicans at risk of losing control of Congress.US gasoline pump prices are back about $4 a gallon.“It’s going to come down, maybe lower than when we even started — but just give me a little time,” Trump said Wednesday, referring to oil prices. —With assistance from Sherif Tarek and Eltaf Najafizada.Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.