President Biden convened a meeting with congressional leaders at the White House today to discuss key funding issues related to Ukraine, Israel, and the southern border. The president has proposed a $110.5 billion package that has been met with opposition from Republicans, creating a critical negotiation situation within the domestic political landscape.
Simultaneously, tensions in the Middle East continue to escalate. On Tuesday, the United States conducted new strikes on Iran-backed Houthi militants in Yemen. These strikes specifically targeted anti-ship ballistic missiles controlled by the group. As a result, officials have issued a warning for ships to avoid the Red Sea until further notice due to the potential of retaliatory attacks from the Houthis.
The impact of these strikes is currently difficult to assess. However, it is believed that the first series of strikes may have degraded approximately 30% of the Houthis' capability to attack shipping in the Red Sea. While this represents a significant blow, it is evident that further action is necessary to fully mitigate the threat.
The call for ships to avoid the Red Sea poses practical challenges, particularly regarding the types of goods being transported and their destinations. For many commercial vessels, avoiding the Red Sea and the transit area up to the Suez Canal might be impractical or economically burdensome. This situation echoes a similar dilemma faced around 50 years ago when shipping routes were disrupted after the 1967 war between Israel and Egypt, resulting in prolonged travel times and increased costs.
Additionally, the Biden administration is expected to redesignate the Houthis as a global terrorist entity. This decision marks a shift from their delisting in 2021, an action taken as a goodwill gesture toward the Saudis who were engaged in negotiations with the Houthis. However, the Houthis did not reciprocate this goodwill, leading to the reconsideration of their designation.
A terrorist designation would have several implications for the Houthis, both operationally and financially. Financial sanctions would be imposed, hindering their access to funds. Moreover, individuals associated with the group could face legal consequences if caught traveling or identified as Houthi members.
Though Iran is known for circumventing sanctions, this move by the United States could serve as a symbolic gesture and impose practical limitations on the financing and operations of the Houthi militants.
The circumstances surrounding these critical negotiations and unstable situations in Ukraine, Israel, and the Middle East require careful consideration and strategic decision-making to address the various challenges at hand.
