Red Sea Shipping Faces Renewed Threat as Houthis resume Attacks

Sanaa, Yemen – A surge in Houthi rebel attacks in the Red Sea is raising alarm bells for global trade, just as shipping lines were cautiously resuming transit through the vital waterway. The latest incidents, involving strikes against commercial vessels earlier this week, have resulted in civilian casualties and sparked fears of environmental damage, according to united Nations special envoy Hans Grundberg.

The Houthis, who control much of Yemen, began targeting ships in November 2023, claiming solidarity with palestinians following Hamas’s October 7th attack on Israel. Over the subsequent months, they launched over 100 missile and drone attacks, successfully sinking two merchant vessels and killing four sailors. This campaign considerably disrupted the flow of approximately $1 trillion in annual trade through the Red Sea corridor.

While shipping activity had begun to recover in recent weeks,the recent escalation threatens to reverse that trend. The attacks prompted a major U.S.airstrike campaign against Houthi targets in yemen in April, followed by a broader assault in mid-March. A period of relative calm followed, with the Houthis focusing occasional missile attacks on Israel. However, this weekend’s attacks signal a renewed commitment to disrupting maritime traffic.

The timing of these attacks is notably sensitive, coinciding with delicate negotiations surrounding a potential ceasefire in the Israel-Hamas war and as Iran considers resuming talks regarding its nuclear program following U.S. airstrikes on its atomic sites during the recent Israel-Iran tensions.

“We are now with grave concern seeing an escalation in the Red Sea,” warned Grundberg, using another name for the rebels. The renewed threat underscores the fragility of stability in the region and the potential for further disruption to global supply chains.

What are the potential long-term economic consequences of prolonged disruptions to shipping through the Bab el-Mandeb Strait?

Houthi Attack Claims Cargo Ship Crew Lives and Kidnappings

Recent Escalation in Red Sea Attacks

The Bab el-Mandeb Strait, a critical waterway for global trade, has become a focal point of escalating tensions following a series of attacks by Houthi rebels. These attacks, primarily targeting commercial vessels, have tragically resulted in loss of life and the kidnapping of crew members, significantly disrupting international shipping and raising concerns about maritime security. The Houthis, an Iranian-backed Yemeni group, claim these actions are in solidarity with palestinians in Gaza and aim to pressure Israel and its allies.However, the attacks are impacting global supply chains and increasing insurance costs for shipping companies.

Confirmed Incidents & Crew fatalities

Several incidents have been confirmed in recent months, demonstrating the increasing sophistication and frequency of Houthi attacks.

December 2023: The Norwegian Gem cruise ship was targeted, though no damage or injuries were reported. This highlighted the broadening scope of potential targets.

January 2024: The Maersk Hangzhou was attacked,prompting the U.S. Navy to intervene and sink three Houthi boats.

February 2024: The Stolt Seafarer was hit, causing a fire but no casualties.

March 2024: The True Confidence, a Barbados-flagged bulk carrier, was struck by a missile, resulting in the deaths of three crew members – two Filipinos and one vietnamese national. This marked the first confirmed fatalities from these attacks.

Recent Kidnappings (July 2025): A recent attack on the Galaxy Leader resulted in the kidnapping of over 50 crew members of various nationalities. Negotiations for their release are ongoing, but progress has been slow.This incident has significantly heightened anxieties among shipping companies and maritime personnel.The crew nationalities include Ukrainian, Filipino, Bulgarian, Romanian, and others.

Increased Shipping Costs: Rerouting adds approximately 10-14 days to journeys between Asia and Europe, leading to considerable increases in freight rates.

Supply Chain Disruptions: Delays are impacting the delivery of goods, potentially leading to shortages and price increases for consumers.

Insurance Premiums: War risk insurance premiums for vessels transiting the Red Sea have skyrocketed, adding another layer of cost for shipping companies.

Oil Price Volatility: Concerns about potential disruptions to oil supplies have contributed to volatility in global oil prices.

Participating Nations: The coalition includes the United States, United Kingdom, Bahrain, Canada, Denmark, Netherlands, Norway, Seychelles, and Spain.

Objectives: The operation focuses on providing a layered defense system, including air and missile defense capabilities, to escort vessels and deter Houthi attacks.

Effectiveness: While Operation Prosperity Guardian has had some success in intercepting incoming attacks, the Houthis continue to pose a significant threat. The effectiveness of the operation is continually debated, with some critics arguing for a more robust response.

Recent Developments (July 2025): Increased naval presence and more aggressive counter-measures are being considered following the Galaxy Leader kidnapping.

Rerouting: The most common response is to reroute vessels around the Cape of Good Hope, despite the increased time and cost.

Increased Security Measures: Employing armed security personnel on board vessels and enhancing surveillance capabilities.

Coordination with Naval Forces: coordinating voyages with Operation Prosperity Guardian to benefit from naval escorts.

Enhanced Situational Awareness: Utilizing intelligence and monitoring services to track potential threats and adjust routes accordingly.

Insurance Coverage: Ensuring adequate war risk insurance coverage to protect against potential losses.

The Role of Geopolitical Factors

The Houthi attacks are deeply intertwined with the broader geopolitical landscape in the Middle East, notably the ongoing conflict between Israel and Hamas. The Houthis’ stated motivation is to pressure Israel and its allies to cease hostilities in Gaza.

Iranian Support: the Houthis receive significant support from Iran,including weapons and training.

Yemen Civil War: The attacks are also linked to the ongoing civil war in Yemen, where the Houthis are fighting against the internationally recognized government.

* Regional Instability: The situation is exacerbating regional instability and raising concerns about a wider conflict.

Future Outlook