U.S. targets Iran-backed Houthi financial network with sanctions

The United States has announced fresh sanctions against a group of individuals and entities accused of facilitating oil shipments and financial support for Yemen’s Houthi movement, in what officials described as a continued effort to dismantle the group’s funding mechanisms.

The U.S. Treasury Department imposed penalties on two individuals and five companies involved in smuggling refined petroleum products, which were reportedly used to finance the Houthis' military operations. 

According to U.S. officials, the network has profited substantially from these activities while helping the Iran-aligned Houthis threaten critical international shipping routes.

“These sanctions aim to cut off the revenue streams that enable the Houthis to destabilize the region and target civilian and commercial maritime traffic,” a senior State Department spokesperson said.

The move is part of a broader U.S. campaign to undermine the Houthis' financial infrastructure and limit their access to weapons and external funding. Earlier this year, on March 4, the U.S. re-designated the group—also known as Ansarallah—as a Foreign Terrorist Organization (FTO), a step that reinforced Washington’s position on the group’s threat to regional and global security.

Officials emphasized that these sanctions are intended to pressure those who enable the group’s operations, not to harm the humanitarian situation in Yemen. "Our focus remains on those profiting from conflict and enabling terror," the spokesperson added.