Houthis Enter the Conflict and Escalate Threats to Red Sea Trade Routes

Yemen’s Iran‑aligned Houthi militant group has formally declared its involvement in the expanding conflict between the United States, Israel, and Iran, marking a significant escalation that could reverberate across global trade and security frameworks. On March 28, the group announced that it had launched ballistic missiles, cruise missiles, and drones against key military targets in Israel, emphasizing that it will continue its operations until what it calls “Israeli attacks and aggression” cease.

The Houthis were originally established in 1994 as a Shiite rebel faction in northern Yemen. They surged to prominence after seizing Yemen’s capital, Sanaa, in 2014, precipitating years of civil turmoil. Supported by Iran, they form part of a broader network often referred to as the “Axis of Resistance” alongside groups like Lebanon’s Hezbollah and Palestine’s Hamas, united in opposition to Israel.

New Front in an Expanding Regional War

Since the broader conflict broke out at the end of last month, the Houthis’ formal entry into hostilities has fueled concerns that the Middle Eastern war could widen further. On March 28, the Israeli military reported that it had shot down a drone over the strategic Red Sea port city of Eilat and intercepted a cruise missile launched from Yemen before it entered Israeli airspace.

Yemen lies along the Bab el‑Mandeb Strait, a vital maritime corridor that connects the Red Sea to the Gulf of Aden and onward to the Suez Canal — one of the world’s primary arteries for international trade. Analysts warn that if the Houthis disrupt or close this passage, the economic fallout could be profound, much like concerns raised over Iran’s blockade of the Strait of Hormuz. This southern gateway handles approximately 12% of global oil shipments, making it a critical chokepoint for both energy and goods movement.

Houthi Expansion and Red Sea Disruptions

Houthi leaders have suggested that their action aligns with Iran and allied groups’ efforts in the conflict, highlighting a coordinated stance with fighters referred to as Mujahideen and forces like Iran’s Revolutionary Guard and Hezbollah. This implies potential strategic cooperation within the “Axis of Resistance”.

Yemen itself is beset by long‑standing political and social fractures. After the 1990 unification of North and South Yemen, the country experienced cycles of instability that enabled the Houthis to rise. With help from Iran, they adopted anti‑U.S. and anti‑Israel positions, especially after the Arab Spring weakened central authority in 2011.

Following their 2014 takeover of Sanaa and the outbreak of civil war, Iran supported the group with advanced weaponry, while Saudi Arabia backed Yemen’s internationally recognized government, effectively turning the conflict into a proxy war between Riyadh and Tehran.

Previous Red Sea Attacks and Economic Impact

Earlier in the broader Middle Eastern conflict — notably after Hamas’s military actions in 2023 — the Houthis launched attacks on merchant vessels traversing the Bab el‑Mandeb and Red Sea. These assaults forced major shipping companies to reroute vessels around the Cape of Good Hope, adding vast distances and costs to global trade.

Though a ceasefire in late 2025 temporarily reduced attacks, the ongoing war since March has rekindled fears that commercial routes could once again come under threat, with renewed impact on world markets.

Military Capabilities and Regional Stakes

The Houthis currently control significant portions of Yemen and command an estimated 350,000 armed fighters, with capabilities that include land, sea, and air assets. Their arsenal contains weapons seized from Yemeni government and Saudi forces, and likely includes missiles with considerable range.

If Houthi forces resume or intensify attacks on civilian shipping in the Bab el‑Mandeb Strait, the global economy — already facing strain from other geopolitical flashpoints — could suffer severe consequences. Moreover, Saudi Arabia has reportedly operationalized an alternative 1,000 km oil pipeline from the Eastern Province to the Red Sea port of Yanbu to safeguard energy exports, a strategic reserve should Yemeni threats intensify.

International Pressure and Strategic Calculations

The United States designated the Houthis as a terrorist organization in January of the previous year and has since conducted targeted strikes against their positions in Yemen. A May 2023 agreement temporarily curtailed their Red Sea attacks, underscoring how fragile maritime security remains.

Regional analysts have framed the potential closure of the Bab el‑Mandeb as a drastic step that would prompt unified international opposition from Western powers, Gulf states, and alliances such as NATO — potentially jeopardizing the Houthis’ own survival if pursued.