Trump Redesignates Iran-Backed Houthi Rebels As Terrorist Organisation, Reversing Biden

U.S. President Donald Trump on Wednesday re-designated Yemen's Houthi movement, known formally as Ansar Allah, as a "foreign terrorist organisation". The action will result in stricter economic sanctions compared to those imposed by the Biden administration on the Iran-aligned group. These sanctions were in response to their attacks on commercial shipping in the Red Sea and on U.S. warships protecting the vital maritime chokepoint. 

Supporters of the decision argue that it is long overdue, although some experts warn that it could affect anyone perceived to be supporting the Houthis, including certain aid organisations. 

"The Houthis' activities threaten the security of American civilians and personnel in the Middle East, the safety of our closest regional partners, and the stability of global maritime trade," the White House said in a statement. 

The Houthis, who control most of Yemen, have carried out over 100 attacks on ships in the Red Sea since November 2023. They claim these actions are in solidarity with Palestinians amidst Israel's conflict with Hamas in Gaza. They have sunk two vessels, seized another, and caused the deaths of at least four seafarers. 

The attacks have disrupted global shipping, compelling companies to redirect their routes through longer and costlier journeys around southern Africa for over a year. 

The group has targeted the southern Red Sea and the Gulf of Aden, which are joined by the narrow Bab al-Mandab strait, a chokepoint between the Horn of Africa and the Middle East. 

Under the Biden administration, the U.S. military sought to intercept Houthi attacks to safeguard commercial traffic and waged periodic strikes to degrade Houthi military capabilities. However, it did not target the group's leadership. 

At the start of his presidential term in 2021, Joe Biden had dropped Trump's terrorist designations to address humanitarian concerns inside Yemen. Confronted with the Red Sea attacks, Biden last year designated the group as a "Specially Designated Global Terrorist" organisation. But his administration held off on applying the harsher FTO designation. 

British charity Oxfam said the move would worsen the suffering of Yemeni civilians, disrupting vital imports of food, medicine, and fuel. 

"The Trump administration is aware of these consequences but chose to move forward anyway, and will bear responsibility for the hunger and disease that will follow," Oxfam America's director of peace and security, Scott Paul, said in a statement. 

David Schenker, who served as assistant secretary of state for Near Eastern affairs during the first Trump administration, stated that Trump's action on Wednesday was a clear and initial response to what he described as one of Iran's primary proxy forces in the Middle East. 

"While the redesignation likely won't have a positive impact on the group's behaviour, the measure suggests the new administration is not looking to induce (or cajole) the Iranians to negotiations through blandishment," Schenker told Reuters. 

The Trump administration said the U.S. will work with regional partners to eliminate Houthi capabilities, deprive it of resources "and thereby end its attacks on U.S. personnel and civilians, U.S. partners, and maritime shipping in the Red Sea." 

The designation will also trigger a broad review of U.N. partners, non-governmental organisations and contractors operating in Yemen, the White House said. 

"The President will direct USAID to end its relationship with entities that have made payments to the Houthis, or which have opposed international efforts to counter the Houthis while turning a blind eye towards the Houthis’ terrorism and abuses," the White House said. 

Recently, the Houthis have indicated a reduction in attacks in the Red Sea following a phased ceasefire agreement between Israel and Hamas. Earlier on Wednesday, the group released the crew of the Galaxy Leader commercial ship more than a year after seizing their Bahamas-flagged vessel off the Yemeni coast.