Bab el-Mendeb fee plan by Yemen’s Houthi rebels threatens global oil shipments

Yemen’s Iran‑backed Houthi rebels are evaluating the introduction of transit fees for vessels passing through the Bab el‑Mendeb Strait, the key waterway linking the Red Sea to the Gulf of Aden. In July, Houthi representatives met Iranian officials to discuss normalising such charges as a way to increase pressure on the United States. Iranian advisers are reported to be helping shape the proposal, but no timetable for implementation has been announced, and Chinese‑flagged ships may be exempt.

The initiative could weaken Saudi Arabia’s oil export route via the Strait of Hormuz and raise global supply concerns. The Red Sea and Bab el‑Mendeb corridors are already congested; after recent Houthi attacks, traffic through Bab el‑Mendeb fell to roughly 11 ships per day by 26 July, extending transit times and pushing freight and insurance costs higher.