Tankers carrying Saudi oil make u-turns after Houthi threat
Oil tankers bound for China and India have diverted their routes in the Red Sea following threats from Houthi militants. The move signals potential disruptions to global energy supplies as the Houthis declare a naval blockade against Saudi Arabia.
Why it matters
The escalation in the Red Sea threatens to increase energy costs and disrupt critical global shipping lanes, compounding existing market instability.
Three oil tankers loaded with Saudi Arabian crude bound for China and India made u-turns in the Red Sea on Tuesday, following a warning from Yemen's Iran-aligned Houthi militia.
Instead, they headed towards the Suez Canal rather than braving the Yemeni coast.
The ships' change in direction forewarn a second potential disruption to a major shipping route that could compound the shortfall in global energy markets caused by the closure of the Strait of Hormuz.
On Monday, the Houthis declared a naval blockade against Saudi Arabia, opening a potential new front in the US-Israeli war with Iran and raising the threat to global energy supplies and trade beyond the Gulf.
In an email sent to shipping companies, the militant group warned against loading or discharging cargo at Saudi ports, saying it may result in their ships being targeted "in any location".
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