U.S. Sanctions Companies, Vessels Aiding Houthi Operations

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U.S. Sanctions Companies, Vessels Aiding Houthi Operations

State Department Spokesperson Tammy Bruce
State Department Spokesperson Tammy Bruce

The United States has imposed sanctions on three vessels and their owners for their role in delivering refined petroleum products to Houthi-controlled ports, according to a statement released today by Department Spokesperson Tammy Bruce.

The move is part of a broader U.S. strategy to disrupt the Houthis’ financial networks and limit their ability to threaten maritime navigation in the Red Sea. The Houthis, officially designated by the U.S. as both a Specially Designated Global Terrorist (SDGT) and a Foreign Terrorist Organization (FTO), have been known to use revenue from goods shipped through ports they control to fund their operations.

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“Today’s action underscores our commitment to disrupt the Houthis’ efforts to fund their dangerous and destabilizing attacks in the region,” said Deputy Secretary of the Treasury Michael Faulkender.

The vessels targeted are the Tulip BZ, Maisan, and White Whale. The companies sanctioned are Zaas Shipping & Trading Co, Bagsak Shipping Inc, and Great Success Shipping Co. These entities are accused of facilitating the delivery of Liquid Petroleum Gas (LPG) and gas oil to Houthi-controlled ports.

The U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) is implementing these sanctions under counterterrorism authority, building upon previous actions against Houthi leaders, financial facilitators, and suppliers. The U.S. government has expressed concern about the Houthis’ use of missiles, unmanned aerial vehicles, and naval mines to attack commercial shipping, disrupting global trade.

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The vessels in question discharged their cargo after the expiration of an OFAC general license, which had previously authorized certain transactions related to refined petroleum products in Yemen.

The sanctions mean that all property and interests in property of the designated persons within the U.S. or under the control of U.S. persons are blocked and must be reported to OFAC. U.S. persons are generally prohibited from engaging in transactions with these blocked entities.

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