The U.S. Treasury Department on Thursday announced its largest sanctions action to date against Yemen's Iran-backed Houthi militants, targeting 4 individuals, 12 entities, and 2 vessels involved in oil smuggling and illicit financing.
The Office of Foreign Assets Control (OFAC) said the network funneled revenue to the Houthis through black-market oil sales and smuggling operations at Houthi-controlled ports. The targeted vessels and their operators allegedly violated U.S. sanctions by discharging oil derivatives to the group.
Treasury is taking its single largest action to date against the Iran-backed Houthis by targeting four individuals, 12 entities, and two vessels that have imported oil and other illicit goods in support of the terrorist group.https://t.co/ICnI6tsaUi
— Treasury Department (@USTreasury) June 20, 2025
“The Houthis rely on front companies and facilitators to fund their terror,” said Deputy Treasury Secretary Michael Faulkender. “This action disrupts their financial and shipping pipelines.”
The sanctions were issued under Executive Order 13224. The State Department had previously labeled the Houthis a Specially Designated Global Terrorist group in February 2024 and redesignated them as a Foreign Terrorist Organization in March 2025.
Officials warned that supporting the Houthis risks both sanctions and potential Houthi retaliation at sea.
