U.S. Declares Houthis A Foreign Terrorist Organisation Amid Red Sea Attacks

Galaxy Leader — Screengrab from YouTube video posted by Daily Mail

The United States has officially designated Yemen’s Iran-backed Houthi movement, also known as Ansarallah, as a Foreign Terrorist Organisation (FTO).

The department announced the decision on March 4, 2025, citing that the U.S. would not tolerate any country engaging with terrorist groups like the Houthis under the pretense of legitimate international business.

Since 2023, the Houthis have carried out hundreds of attacks on commercial vessels and military targets in the region. U.S. officials stated that the group has specifically spared Chinese-flagged ships while targeting American and allied vessels.

The Houthis have also conducted missile and drone attacks on Israel, claiming their actions are in solidarity with Palestinians in response to the war in Gaza.

The attacks have already had a severe impact on global trade, forcing shipping companies to reroute vessels around South Africa due to security risks in the Red Sea.

These longer and costlier journeys have added delays to international supply chains.

Video Credits: Daily Mail/YouTube

The Houthis have also sunk two ships, seized another, and killed at least four seafarers. Their leader warned that the group would continue monitoring the Israel-Hamas ceasefire and could resume attacks if the agreement is breached.

A United Nations spokesperson said that 19 million Yemenis rely on life-saving assistance, and restricting commercial imports could devastate civilian access to essential goods and services.

Yemen depends heavily on private sector imports for humanitarian supplies, and any disruption could worsen an already dire situation. The U.N. urged the U.S. to provide safeguards and reassurances to ensure aid deliveries continue despite the terrorist designation.

The international shipping industry has also expressed concerns about worsening security conditions in the region.

A senior official from BIMCO, a leading global shipping association, warned that the situation could deteriorate further, especially if the Israel-Hamas ceasefire collapses or if the U.S. and Israel take military action against the Houthis.

A U.S. State Department spokesperson clarified that the FTO designation is a continuation of the decision made in January, when Trump first moved to reinstate the Houthis’ terrorist status.

That time, the move was necessary because of repeated Houthi attacks on Red Sea shipping and U.S. warships.

In 2021, then-President Joe Biden revoked Trump’s earlier terrorist desgination of the Houthis. In response to the continued Houthi attacks, Biden later labeled them as a “Specially Designated Global Terrorist” (SDGT) group but held off on the full FTO designation until now.

Reference: US Department of State

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