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US Hits Houthis With New Sanctions; China Pushes Back

US sanctioned 32 individuals, entities, and 4 vessels tied to Houthi financing, smuggling, and weapons procurement

September 12, 2025Clash Report

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The United States unveiled its largest package yet against Yemen’s Houthi network, blacklisting 32 individuals and entities and four vessels in a bid to disrupt fundraising, smuggling, and attack operations. China publicly objected, accusing Washington of overreach and violating international norms, as the sanctions landed amid intensified cross-border strikes and shifting diplomatic calculations.

Scope Of Sanctions And Targets

Treasury officials said the measures hit petroleum smugglers, Houthi-linked shippers, and several China-based firms alleged to move military-grade components and dual-use goods, aiming to disrupt the “full cycle” of procurement and revenue. “The Houthis continue to threaten US personnel and assets in the Red Sea, attack our allies in the region and undermine international maritime security,” said John K. Hurley, maintaining the group’s operations had to be curtailed.

Beijing’s Objection And Regional Backdrop

China’s Foreign Ministry said it “firmly opposes” the US move, labeling it unilateral and contrary to international law, and criticized the practice as “long-arm jurisdiction.” The exchange came as Israel’s latest strikes in Yemen killed at least 35 people, and Jordan confirmed the release of UNICEF official Lana Shukri Kataw, underscoring how sanctions are unfolding alongside fast-moving military and humanitarian developments.

Likely Implications For Trade And Diplomacy

Sanctions complicate ship chartering, insurance, and commodity flows linked to named vessels and intermediaries, increasing due-diligence burdens for shippers and traders in the Red Sea–Gulf corridors. Beijing’s objection signals added friction in US-China relations where export controls and financial measures already test bilateral ties, while regional actors weigh whether the blacklist curbs Houthi capabilities or spurs further tit-for-tat amid continued strikes and intermittent detainee releases.