The United States on Tuesday imposed new sanctions on individuals and companies accused of operating a petroleum smuggling and sanctions evasion network tied to Yemen's Iran-backed Houthi movement.
According to a statement from the US Treasury Department quoted by Reuters, two individuals and five entities were designated for facilitating the import of petroleum products and laundering funds that support the Houthis’ operations.
Among those sanctioned is Muhammad Al-Sunaydar, identified as one of Yemen’s most prominent petroleum importers, managing a network operating between Yemen and the United Arab Emirates.
Three companies linked to Al-Sunaydar were also sanctioned. The Treasury said they coordinated with a previously designated company to deliver $12 million worth of Iranian petroleum products to the Houthis.
"The Houthis collaborate with opportunistic businessmen to reap enormous profits from the importation of petroleum products and to enable the group’s access to the international financial system," said Deputy Secretary of the Treasury Michael Faulkender. "These networks of shady businesses underpin the Houthis’ terrorist machine."
The sanctions come amid ongoing Houthi attacks on shipping lanes in the Red Sea, which the group claims are in support of Hamas amid the war in Gaza.
In March, the US launched strikes against the Houthis, after President Donald Trump said he had ordered the military to launch “decisive and powerful military action against the Houthi terrorists in Yemen.”
Trump later announced that the US would stop bombing the Houthis after the rebels communicated that they would stop attacking commercial shipping in the Red Sea.
Even though the Houthis halted their attack on US ships, they stressed that they would continue attacks on Israel, as they have done since the start of the conflict in Gaza.