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Oil Tankers Divert from Red Sea Amid Houthi Shipping Threat

At least seven oil tankers have abruptly changed course near Yemen following a Houthi group announcement of a "maritime embargo" against Saudi Arabia. The vessels, all linked to Saudi ports, made U-turns after the threat emerged.

  • Seven oil tankers have made U-turns near Yemen since the Houthi group declared a 'maritime embargo' against Saudi Arabia.
  • The embargo threatens shipping to and from Saudi ports, with vessels potentially 'subject to targeting'.
  • The Red Sea is a crucial global trade route, handling nearly 15% of sea trade, and is vital for Saudi oil exports.
  • The EU's naval force, Aspides, has advised vessels with Israeli, US, or Saudi interests to avoid the Red Sea and Gulf of Aden.
  • The Houthis claim the embargo is in retaliation for a Saudi blockade of ports in Houthi-controlled Yemen.

At least seven oil tankers have executed sharp U-turns near Yemen, with several others diverting before entering the Bab al-Mandab Strait, following a declaration of a "maritime embargo" against Saudi Arabia by the Iran-linked Houthi group. Ship-tracking data indicates that all of the affected vessels were either bound for or departing from Saudi ports when they altered their courses after the announcement on Monday.

The Red Sea serves as a critical artery for global maritime trade, facilitating nearly 15% of all sea trade. This vital waterway connects the Mediterranean to the Gulf of Aden through two key choke points: the Suez Canal in Egypt and the Bab al-Mandab Strait, situated between Yemen and the Horn of Africa. The route has become particularly important for Saudi oil exports since the effective closure of the Strait of Hormuz, which has significantly constrained the flow of oil and gas from the Gulf region. Experts suggest that any further restrictions on trade by the Houthis could lead to a substantial increase in global oil prices.

Among the vessels that changed course was the crude oil tanker Rodos, flagged in Liberia, which was loaded with Saudi crude and departed for India from the Red Sea port of al-Muajiz on Monday evening. After sailing south towards the Bab al-Mandab Strait for approximately nine hours, it executed a U-turn and began heading north. Similarly, the Liberian-flagged oil and chemical tanker Mica departed Saudi Arabia's Jazan port on Monday afternoon, initially heading south before also reversing course. Other diversions include the Marshall Islands-flagged vehicle carrier Liu Jiang Kou, which was en route to Jeddah from China but changed course in the Gulf of Aden, and the Hong Kong-flagged crude oil tanker New Prime, which turned around while heading towards Saudi Arabia and is now reportedly waiting in the Arabian Sea.

While the specific reasons for each vessel's change of course cannot be independently verified, maritime risk management firm Vanguard noted that "the timing is consistent with the embargo announcement." The Houthis, in an email to shipowners seen by the BBC, stated that "vessels are banned from loading or discharging cargo at any Saudi ports" and warned that ships "may be subject to targeting in any location within the operational reach." This move, according to the Houthis, is in retaliation for a Saudi blockade of ports and airports in Houthi-controlled north-western Yemen. Saudi Arabia has condemned these allegations and vowed to "take all necessary measures to protect its ships in accordance with international law."

The EU's naval force in the region, Operation Aspides, issued an advisory on Wednesday, recommending that "merchant vessels linked to Israeli, US or Saudi interests avoid transiting the Red Sea and Gulf of Aden until the threat level decreases." This echoes concerns about the potential for broader disruption beyond just Saudi-bound vessels. The Houthis have a history of causing significant disruption in the Bab al-Mandab Strait, particularly following the outbreak of the Gaza war in October 2023, when they began attacking merchant vessels in the Red Sea.

The ongoing civil war in Yemen, which began in 2014, escalated in 2015 when a Saudi-led coalition intervened to restore the official government after the Houthis captured the capital of Sana'a. An informal truce between the Houthis and Saudi Arabia has been in place since 2022, but tensions flared last week with Houthi missile launches at a Saudi airport in response to alleged Saudi air strikes on Sana'a airport.

Why this matters: The Red Sea is a vital global trade route, and disruptions here can significantly impact global energy markets, potentially leading to higher fuel and consumer prices for UK households. It also highlights the fragility of international shipping lanes.

What this means for you: What this means for you: This could lead to an increase in global oil prices, which may translate to higher petrol and diesel costs at the pumps across the UK. It could also affect the cost of goods imported via these routes.

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