Iran-Backed Houthis Consider Charging Ships to Cross Strategic Red Sea Strait

The Iran-backed Houthi terror group is reportedly considering imposing transit fees on commercial vessels passing through the Bab el-Mandeb Strait, potentially exempting Chinese ships while expanding its control over a critical global trade route.

The Iran-backed Houthi terror group in Yemen is considering charging commercial ships for passage through the southern Red Sea, Reuters reported on July 29.

The proposed fees would reportedly apply to most vessels crossing the Bab el-Mandeb Strait, the narrow waterway linking the Red Sea with the Gulf of Aden. No implementation date has been announced.

The reported plan comes roughly one week after the Houthis declared a maritime blockade targeting Saudi Arabia, raising new concerns about global shipping, energy supplies and freedom of navigation.

Possible Exemption for Chinese Vessels

Senior Houthi officials reportedly discussed the transit-fee proposal with Iranian representatives during a visit to Iran in July, according to regional officials cited by Reuters.

The plan is intended to establish a permanent system for collecting money from ships using the international waterway while creating another pressure point against the United States.

Chinese-owned vessels could reportedly be exempted. China, the largest buyer of Saudi crude oil, has held direct talks with the Houthis in an effort to secure safe passage for its tankers through the Red Sea.

The Houthis are also considering establishing a separate authority, supported by Iranian advisers, to administer the proposed payment system.

Threat to Global Trade and Energy Supplies

Afrah al-Zouba, Yemen’s internationally recognized government nominee for foreign minister, warned that the Houthis intend to expand their influence over the Red Sea and collect money from passing ships.

“The Houthis will seek to secure influence over the Red Sea and collect transit fees from vessels,” she told Reuters.

The Bab el-Mandeb Strait is one of the world’s most important maritime trade corridors. Any serious disruption could restrict a key alternative route for Saudi oil shipments and increase fears of shortages in global energy markets.

Commercial traffic in the Red Sea has not fully recovered since the Houthis began attacking merchant vessels in November 2023 while claiming to act over the war in Gaza.

A Saudi tanker was also recently attacked near the southern Saudi port of Jizan. The Houthis claimed responsibility for the strike.

Concerns Over Houthi Extortion at Sea

Western diplomats said an attempt to impose formal transit fees would likely trigger strong opposition from Gulf and European governments. However, they warned that international naval forces currently lack sufficient resources and political support to provide comprehensive protection for commercial shipping.

A United Nations panel of experts previously raised the possibility that the Houthis had collected payments from some vessels in exchange for safe passage through the Red Sea and Gulf of Aden.

The alleged revenue may have reached as much as $180 million per month, although the United Nations said it could not independently verify the figure.

Allowing an Iran-backed terror organization to decide which ships may safely use an international waterway would establish a dangerous precedent. The United States and its allies face growing pressure to protect freedom of navigation and prevent the Houthis and Tehran from turning the Red Sea into a controlled extortion route.