The U.S. Treasury’s OFAC has imposed sweeping sanctions targeting 32 individuals and entities—and identified four vessels tied to the Houthi movement’s illicit networks. These sanctions aim to disrupt Houthi revenue streams and procurement operations.
Entities based in Yemen, China, the UAE, and the Marshall Islands implicated include front companies, shipping firms, and oil importers that help smuggle oil, launder money, or otherwise support the Houthis in acquiring dual-use and military-grade components such as parts for ballistic missiles, cruise missiles, and unmanned aerial vehicles.
The OFAC designations are made under Executive Order 13224, which authorizes sanctions against those aiding terrorist organizations. All property and interests in property of the designated parties within U.S. jurisdiction are blocked. U.S. persons are generally forbidden from transacting with them, and foreign financial institutions risk secondary sanctions.
Treasury officials say the action follows years of intelligence tracking how the Houthis fund their operations: via oil smuggling through ports under their control, fraudulent trade, control of seized assets, and partnerships with international suppliers. The goal is to erode the financial, logistical, and material support that has enabled the group’s destabilizing activities in the Red Sea region and broader Middle East.
