Houthis Announce Saudi Naval Blockade, Risking 7% Of Global Oil Supply Via Red Sea Route

Houthis Announce Saudi Naval Blockade, Risking 7% Of Global Oil Supply Via Red Sea Route

Yemen’s Iran-backed Houthis announced a naval blockade against Saudi Arabia amid escalating US-Iran tensions, raising concerns over global energy supplies and shipping routes. The move threatens the Bab el-Mandeb strait, a key trade corridor, even as diplomatic efforts continue with proposals for a temporary ceasefire between Washington and Tehran

FPJ Web DeskUpdated: Tuesday, July 21, 2026, 11:24 AM IST
Houthis Announce Saudi Naval Blockade, Risking 7% Of Global Oil Supply Via Red Sea Route

Yemen’s Iran-aligned Houthi group has announced a naval blockade against Saudi Arabia, creating a potential new flashpoint in the ongoing conflict involving the United States and Iran, Reuters reported.

The move has raised concerns over global energy supplies and international shipping routes beyond the Gulf region.

Iran had earlier urged the Houthis to target the Bab el-Mandeb Strait if the United States continued attacks on Iranian energy infrastructure. The strategic waterway connects the Red Sea with the Gulf of Aden and is a major route for global oil and commercial shipping.

A complete closure of the Bab el-Mandeb Strait could disrupt nearly 7% of global oil supplies by restricting Saudi Arabia’s ability to export crude through the region.

Such a disruption would add to existing reductions in oil flows caused by the wider Gulf conflict, which has already affected around 10% of global supply.

The announcement came despite indications that Tehran and Washington are exploring diplomatic options to stop the escalating cycle of military attacks, which has severely weakened a fragile interim agreement signed last month.

Iran’s Foreign Ministry confirmed that mediators had presented proposals to Tehran, suggesting that communication channels remain open between the two sides.

However, officials did not disclose details of the proposed arrangements or the progress of negotiations.

The Houthi declaration briefly pushed oil prices higher as traders assessed the possible impact on energy shipments.

Although prices later eased on hopes of diplomatic progress, insurance costs for vessels operating in the Red Sea increased due to heightened security risks.

In a statement, the Houthi armed forces announced a “maritime embargo” against Saudi Arabia, describing it as a response to what they called an ongoing blockade and pressure campaign against Yemen.

Meanwhile, diplomatic efforts continued, with an Iranian official confirming that Tehran had received a proposal from mediators for a 10-day ceasefire.

The proposed truce aims to revive the interim agreement and create a pathway towards ending the conflict that began after US-Israeli strikes on Iran.

Pakistan has also reportedly been approached to resume its mediation role, with Iranian Interior Minister Eskandar Momeni visiting Islamabad for discussions.

The latest developments follow continued military exchanges, including US strikes on Iranian targets and retaliatory attacks by Iran’s Revolutionary Guards on American military assets across the region.