Oil Surges to $108 as Houthi Advances in Yemen Spark Regional Alarms
Oil prices surged to $108 per barrel and sirens sounded in Mecca as Houthi advances in Yemen challenge US President Donald Trump and strain global energy markets.
Sirens sounded in Mecca on Tuesday amid missile concerns, while oil prices surged to around $108 per barrel following a series of territorial advances by the Houthis in Yemen. The escalation poses a major challenge to the strategy of US President Donald Trump, who has leaned toward economic pressure rather than direct military intervention.
Saudi Crown Prince Mohammed bin Salman reportedly urged President Trump to launch strikes against the Houthis, but the American leader declined. US officials emphasized that Washington currently has no plans for direct military engagement, even as regional tensions mount and energy markets react violently to Houthi control over key maritime chokepoints.
Impact on Global Energy and Shipping
The recent Houthi advances include the capture of the strategic Red Sea port city of Mocha, Perim Island in the Bab el-Mandeb strait, and the Hanish Islands. These territorial gains allow the group to exert significant control over maritime traffic and disrupt Saudi oil exports, driving oil prices up by 7% over the week and nearly 50% compared to pre-war levels.
"We are in constant contact with the Emirates, the Saudis, and others affected by the situation in the region, and we are also holding direct talks with the Houthis themselves," said US Vice President JD Vance.
Furthermore, pro-Iranian militias in Iraq reportedly targeted the East-West pipeline crossing Saudi Arabia, compounding supply chain disruptions. Reuters reported that repairing the pipeline could take several weeks, further tightening the global energy market.
International Diplomatic Responses
Facing limited capabilities without direct American military backing, Riyadh has turned to other allies. Bloomberg reported that British Prime Minister Andy Burnham is considering military and diplomatic assistance after receiving urgent requests from the Saudi royal court for help in protecting oil infrastructure.
While oil prices hover near $108 per barrel, President Trump faces a difficult political choice ahead of the midterms: absorb the shock of soaring energy costs or risk entangling the United States in a wider Middle Eastern conflict.
