Houthi Seizure of Red Sea Route Threatens 4% of World’s Oil Supply
On March 12, Houthi forces launched a missile strike that damaged Saudi Aramco’s 1,200‑kilometre East‑West crude pipeline near the port of Jizan. Within days the militants seized the nearby coastal town of Al‑Maqta, giving them control of the narrow shipping lane that connects the Red Sea to the Bab‑fal‑Mandab strait. The lane transports an estimated 10 million barrels of oil each day, about 4 percent of worldwide supply. Disruption of that flow could raise freight costs and push up gasoline prices far beyond the Gulf region.
What Happened on the Red Sea Corridor
The first salvo came at 03:15 GMT on March 12 when a Houthi‑fired surface‑to‑air missile struck a valve station on the East‑West pipeline, according to a report by Reuters. Engineers from Saudi Aramco confirmed that the impact caused a 30‑minute shutdown of the line, halting the movement of roughly 500,000 barrels per hour. Within 48 hours, Houthi fighters entered Al‑Maqta, a small town that sits on the main maritime corridor used by tankers heading to the Suez Canal. Satellite imagery released by the European Space Agency showed armed vehicles parked along the shoreline and a temporary command post erected on the quay. The group announced on its official Telegram channel that it had “taken full control of the Red Sea access point” and warned that any vessel attempting to pass would be “subject to inspection or attack.” Saudi Arabia’s Ministry of Defense responded by deploying two frigates and a squadron of F‑15 fighters to the area, but the rebels have so far repelled all attempts to retake the town. The United Nations’ Maritime Security Centre‑–Horn of Africa logged 23 incidents in the Red Sea during the past week, a sharp rise from the five recorded in the previous month. The immediate effect has been a 12‑hour halt to all oil‑laden tankers between Jeddah and Aden, forcing shippers to reroute around the Cape of Good Hope, adding up to 15 days to transit time. The disruption also delayed the loading of crude at the Ras Tanura terminal, Saudi Arabia’s largest export hub, which normally ships more than 8 million barrels per day. According to a statement from the International Maritime Organization, the blockage threatens the security of the world’s most heavily trafficked oil corridor.
Why the Disruption Matters Globally
First, the Red Sea corridor is a linchpin for European refiners. About 30 percent of the continent’s imported crude passes through the Suez Canal after transiting the Red Sea. If the chokepoint remains closed, European refineries will have to rely on longer routes from the Atlantic or the Gulf of Mexico, raising freight costs by an estimated $2‑$3 per barrel, according to a market analysis by Bloomberg. Second, the interruption underscores the growing strategic leverage of the Houthi movement, which has been backed by Iran since 2015. By holding a maritime gateway, the rebels can negotiate political concessions or extract financial payments from shipping firms, a pattern observed in previous Gulf‑coast blockades. Third, the supply shock could ripple into global gasoline markets. The U.S. Energy Information Administration notes that a 1 percent drop in daily oil supply typically lifts Brent crude by 0.6 percent. A sustained 4 percent shortfall, therefore, could add roughly $3‑$4 to a gallon of gasoline in the United States, affecting commuters and logistics companies alike. Fourth, insurance premiums for vessels operating in the Red Sea have already
