Economy

Houthi weapons procurement operatives in Iran, China face sanctions

New US sanctions target those who support the Houthis' attempts to destabilize the region and threaten lives and freedom of navigation.

Houthi fighters stand on a missile carrier during a September 21, 2023 military parade in Sanaa. [Mohammed Huwais/AFP]
Houthi fighters stand on a missile carrier during a September 21, 2023 military parade in Sanaa. [Mohammed Huwais/AFP]

By Pishtaz |

The United States has blacklisted key procurement operatives and suppliers in Iran and China who have helped the Houthis to manufacture, maintain and deploy advanced missiles and drones.

The sanctions target one individual and three companies that have facilitated weapons procurement and smuggling operations for the group, and one entity and two vessels linked with illicit Houthi and Iranian commercial shipments.

The Houthis use a network of international shipping and logistics companies to transport military-grade components from third-country suppliers to their forces in Yemen, the US Treasury said October 2.

They source these items from a range of China-based companies, including logistics and international shipping firm Shenzhen Boyu Imports and Exports Co., Limited, which has facilitated multiple shipments to the Houthis, it said.

Houthi logistics operatives have used Shenzhen Boyu to transport dual-use and military grade items via commercial methods in an effort to evade interdiction.

The Houthis also have procured dual-use components from Shenzhen Jinghon Electronics Limited to advance their missile and drone production efforts.

And they have sourced components for use in missiles and drone development and manufacturing technology from Shenzhen Rion Technology Co., Ltd.

"Shenzhen Rion has shipped numerous military-grade components to Houthi operatives in Yemen, including hundreds of advanced components for use in the manufacturing of missile guidance systems," the Treasury said.

Meanwhile, Houthi operatives manage an array of supply chains and smuggling networks to transport lethal aid into Houthi-controlled territory.

Iran-based Hasan Ahmad Hasan Muhammad al-Kuhlani has facilitated weapons smuggling and helped conceal and transport Iranian lethal aid to the Houthis.

Illicit oil shipments

Gabon-flagged tanker Izumo is transporting petroleum products on behalf of sanctioned Iranian Armed Forces General Staff front company Sepehr Energy Jahan Nama Pars Company.

The Izumo also has transported petroleum products for Houthi financial official Said al-Jamal's network, which has provided tens of millions of dollars of illicit oil sales revenue to fund the Houthis' Red Sea attacks.

The vessel is owned, managed and operated by Marshall Islands-registered Gemini Marine Limited, which owns the Cook Islands-flagged crude oil tanker Frunze -- also linked to the transport of illicit Iranian oil.

Both vessels have been associated with illicit Russian oil shipments.

Gemini Marine Limited is being designated, and the Izumo and Frunze are being identified as property in which the company has an interest.

"The Houthis rely on global supply chains and illicit revenue generation to sustain their reckless attacks against commercial vessels in vital waterways and civilian populations," said US State Department spokesman Matthew Miller.

"We will continue to target those who support the Houthis' attempts to destabilize regional peace and security as well as threaten innocent lives and freedom of navigation," he said.

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