Houthi Blockade Threatens Global Oil Supplies Through Red Sea

The Houthi rebels in Yemen have escalated their attacks on Saudi Arabia by targeting a Saudi oil tanker off the coast of Yanbu. The Houthis claim to have struck the vessel, which was carrying oil through the Red Sea and Bab al-Mandab strait. These waterways are crucial for global trade, with Saudi oil accounting for 66% of cargo passing through Bab al-Mandab.

The Houthi rebels have also announced a naval blockade on Saudi shipping through these routes, which could disrupt energy markets worldwide. The Red Sea lanes carry around 10-12% of global trade, making this development significant.

Experts warn that any disruption to oil supplies could tighten energy markets and increase prices. However, the exact impact is difficult to predict at this stage.