Peter Guindt, President of Resilinc Aerospace & Defense, breaks down the supply chain 'nightmare' in 'Craman Countdown'.
The US and UK made the announcements on Thursday. The sanction level is Four Houthi officials have been deployed to Yemen as Iranian-backed militants escalate attacks on commercial ships in the Red Sea.
The sanctions targeted Houthi Defense Minister Mohamed Nasser al-Atifi, Houthi naval commander Mohammad Fadl Abd al-Nabi, and Coastal Defense Force commander Mohamed Ali al-Atifi. Qadiri, and Mohammed Ahmad al-Talib, who is said to be the Houthi's procurement chief. .
“The Houthis’ persistent terrorist attacks on commercial vessels and their civilian crews legally transiting the Red Sea and Gulf of Aden disrupt international supply chains and freedom of navigation that are critical to global security, stability and prosperity. There is a fear.” Brian E. Nelson, Under Secretary of the Treasury Department's Office of Terrorism and Financial Intelligence, said in a statement.
Navy confirms Iranian involvement in Yemeni Houthi rebel ship attack
In this photo released on November 20, 2023, Houthi fighters stand on the deck of the Galaxy Leader cargo ship in the Red Sea. (Houthi military media/handout/file/Reuters photo)
In early January, the Biden administration Relisting the Houthis Three years have passed since it was removed from the list of foreign terrorist organizations. The new designation came in response to the group's attacks on merchant ships in the Red Sea and Suez Canal, key crossroads for global trade.
The attacks follow a joint missile attack by the United States and Britain against the group, raising shipping costs and disrupting global trade routes, fueling international trade uncertainty. resurgence of inflation Just as price pressures within the economy finally begin to subside.
crude oil price It has risen since the beginning of the new year as the US ramps up its response to the attack.
US attacks Houthi missile storage in Yemen, officials confirm
Approximately 15% of the world's shipping volume passes through the Suez Canal, including 30% of the world's container trade. However, to avoid being attacked or having their cargo stolen, many ships sail around the Cape of Good Hope instead. African continent.
A cargo ship transits through the Suez Canal in Ismailia, Egypt, December 29, 2023. (Fareed Kotb/Anadolu/Getty Images)
UBS estimates that ships circumnavigating Africa will add about two-and-a-half weeks to their journeys and reduce effective capacity for travel between Asia and Europe by about 25%.
Analysts at Bank of America warned in a note this month that disruptions in the Panama Canal, as well as the Red Sea and Suez Canals, could delay the recent decline in inflation.
CLICK HERE TO GET FOX BUSINESS ON THE GO
“Higher shipping costs due to Red Sea issues and lower Panama Canal water levels may also dampen the potential for further declines,” they wrote.
Reuters contributed to this report.
