2 Attacks Launched by Houthis in Yemen Strike Container Ships in Vital Red Sea Corridor

A Houthi militant walks through the beach with the Galaxy Leader cargo ship in the background, seized by the Houthis offshore of the Al-Salif port on the Red Sea in the province of Hodeidah, Yemen, 05 December 2023. (EPA)
A Houthi militant walks through the beach with the Galaxy Leader cargo ship in the background, seized by the Houthis offshore of the Al-Salif port on the Red Sea in the province of Hodeidah, Yemen, 05 December 2023. (EPA)
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2 Attacks Launched by Houthis in Yemen Strike Container Ships in Vital Red Sea Corridor

A Houthi militant walks through the beach with the Galaxy Leader cargo ship in the background, seized by the Houthis offshore of the Al-Salif port on the Red Sea in the province of Hodeidah, Yemen, 05 December 2023. (EPA)
A Houthi militant walks through the beach with the Galaxy Leader cargo ship in the background, seized by the Houthis offshore of the Al-Salif port on the Red Sea in the province of Hodeidah, Yemen, 05 December 2023. (EPA)

A ballistic missile fired by the Iran-backed Houthi militias in Yemen slammed into a cargo ship Friday in the Red Sea near the strategic Bab al-Mandeb Strait, following another attack only hours earlier that struck a separate vessel, authorities said.

The missile attack on the MSC Palatium III and the earlier assault on the Al Jasrah escalate a maritime campaign by the Houthis. The attacks also endanger ships traveling through a vital corridor for cargo and energy shipments for both Europe and Asia from the Suez Canal out to the Indian Ocean.

The Houthis say their attacks aim to end the pounding Israeli air-and-ground offensive targeting the Gaza Strip amid that country's war on Hamas. However, the links to the ships targeted in the militias’ assaults have grown more tenuous as the attacks continue.

“The Yemeni armed forces confirm they will continue to prevent all ships heading to Israeli ports from navigating in the (Red Sea) until they bring in the food and medicine that our steadfast brothers in the Gaza Strip need,” the Houthi military spokesman, Brig. Gen. Yahya Saree, said in a statement claiming responsibility for Friday's attacks.

The recent attacks led Maersk, the world’s biggest shipping company, to announce Friday that it’s told all of its vessels planning to pass through the Bab al-Mandeb Strait to “pause their journey until further notice.” German-based shipper Hapag-Lloyd that was operating the Al Jasrah also said it was pausing all its container ship traffic through the Red Sea until Monday.

Meanwhile, hijackers, likely from Somalia, separately seized a Bulgarian ship in the Arabian Sea.

A US defense official and the private intelligence firm Ambrey said the MSC Palatium III, a Liberian-flagged container ship, caught fire after the strike. It wasn't immediately clear if anyone on board the vessel had been hurt.

Two missiles were fired in the attack, likely trying to hit the Al Jasrah, the US official said. One went wide and splashed down in the water, the other slammed into the Palatium, the official said.

The Palatium turned around after the attack and was now trying to head south, tracking data analyzed by The Associated Press showed.

The Switzerland-based MSC, or Mediterranean Shipping Co., earlier had another vessel, the MSC Alanya, warned by the Houthis around the Bab al-Mandeb, Ambrey said. “The parent company had cooperated with Israel, and this was likely the reason why she was threatened.”

The official spoke on condition of anonymity to discuss intelligence matters. MSC did not immediately respond to a request for comment.

In the earlier Al Jasrah attack, it remained unclear if it was a missile or drone that hit the vessel, the official said. Ambrey and the British military’s United Kingdom Maritime Trade Operations, which monitors Mideast shipping lanes, also confirmed that attack.

“The projectile reportedly hit the port side of the vessel and one container fell overboard due to the impact,” Ambrey said. “The projectile caused a ‘fire on deck’ which was broadcast via” radio.

Shipper Hapag-Lloyd said no crew member had been hurt in the attack. It later announced that it was also pausing its ships through the Red Sea until Monday and “will decide for the period thereafter.”

Ambrey noted that Hapag-Lloyd “is known to have offices in the Israeli ports of Ashdod, Haifa and Tel Aviv.”

In his statement, military spokesman Saree claimed the Houthis targeted the Palatium III and the Alanya — not the Al Jasrah. It wasn't immediately clear why he erroneously identified the second ship.

The attacks Friday further escalate a campaign by the Houthi rebels, who have claimed responsibility for a series of missile assaults in recent days that just missed shipping in the Red Sea and its strategic Bab al-Mandeb Strait.

On Thursday, the Houthis fired a ballistic missile that missed a container ship traveling through the strait.

The day before that, two missiles fired from Houthi-held territory missed a commercial tanker loaded with Indian-manufactured jet fuel near Bab al-Mandeb. Also near the strait, a missile fired by Houthis on Monday night slammed into a Norwegian-flagged tanker in the Red Sea.

Global shipping has increasingly been targeted as the Israel-Hamas war threatens to become a wider regional conflict — even during a brief pause in fighting during which Hamas exchanged hostages for Palestinian prisoners held by Israel. The collapse of the truce has raised the risk of more sea attacks.

The Bab ea-Mandeb Strait is only 29 kilometers (18 miles) wide at its narrowest point, limiting traffic to two channels for inbound and outbound shipments, according to the US Energy Information Administration. Nearly 10% of all oil traded at sea passes through it. An estimated $1 trillion in goods pass through the strait annually.

In November, Houthis seized a vehicle transport ship linked to Israel in the Red Sea off Yemen. The militias still hold the vessel near the port city of Hodeidah. Separately, a container ship owned by an Israeli billionaire came under attack by a suspected Iranian drone in the Indian Ocean.

Also Thursday, unknown attackers boarded the Malta-flagged bulk carrier Ruen, managed by Navigation Maritime Bulgare, in the Arabian Sea off the Yemeni island of Socotra, Ambrey and the UKMTO said. Bulgarian authorities said the ship’s 18-member crew hailed from Angola, Bulgaria and Myanmar.

“The necessary steps have been taken to pass the information on to all foreign partners and institutions that we will count on to provide assistance,” Bulgarian Foreign Minister Maria Gabriel told reporters Friday.

No group immediately claimed responsibility for the assault. However, suspicion immediately fell on pirates from Somalia.  

Somali piracy had dropped in recent years, but there has been growing concern it could resume amid the wider chaos of the Houthi attacks and the political uncertainty gripping the east African nation.

On Friday, the UKMTO issued a warning to shippers saying the security manager for the Ruen “believes the crew no longer has control of the vessel” and that it is heading toward Somalia.  

The European Union’s anti-piracy force in the region said the Spanish frigate Victoria was on its way to intercept the “alleged pirate-hijacked vessel.”



Hezbollah Cuts Ties with Lebanon's Presidency While Sparing the Army

Lebanese President Joseph Aoun meets with Army Commander Rodolphe Haykal during an earlier meeting. (Lebanese Presidency)
Lebanese President Joseph Aoun meets with Army Commander Rodolphe Haykal during an earlier meeting. (Lebanese Presidency)
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Hezbollah Cuts Ties with Lebanon's Presidency While Sparing the Army

Lebanese President Joseph Aoun meets with Army Commander Rodolphe Haykal during an earlier meeting. (Lebanese Presidency)
Lebanese President Joseph Aoun meets with Army Commander Rodolphe Haykal during an earlier meeting. (Lebanese Presidency)

In recent days, Hezbollah has sharply escalated its confrontation with the Lebanese authorities, particularly the presidency, ahead of President Joseph Aoun's visit to Washington. One of the group's lawmakers openly declared that "the bridges with the authorities have been severed and the consequences will not be favorable."

At the same time, however, Hezbollah has continued to avoid direct confrontation with the Lebanese Army's leadership, despite previously warning that it would treat any party attempting to disarm it by force in the same way it treats the Israeli military.

As Lebanese, American, and Israeli discussions continue over implementing the proposed "pilot zones" in southern Lebanon, a plan that would place those areas under the control of the Lebanese Army while removing both Israeli forces and Hezbollah's military presence, the group's recent escalation appears to signal that it is unwilling to cooperate with the proposal. Hezbollah had previously strongly criticized the framework agreement and its provisions.

No Decision to Use Force

According to military sources, there is "no political or military-security decision to implement the pilot zones by force." The sources told Asharq Al-Awsat that "the issue must be resolved through dialogue and politics, not by placing the Lebanese Army in direct confrontation with Hezbollah, as the consequences would be catastrophic on every level."

After Hezbollah MP Hassan Fadlallah used the parliamentary podium earlier this week to launch a sharp attack on President Joseph Aoun, accusing him of "becoming a political actor who deepens divisions among the Lebanese instead of serving as president and a symbol of national unity," fellow Hezbollah lawmaker Ali Fayyad said on Friday that "the problem with this government has become serious, very serious. The bridges with it have been severed, the possibility of reaching an understanding no longer exists, and the consequences will not be favorable."

Escalation in the Streets?

Hilal Khashan, professor of political science at the American University of Beirut, attributed Hezbollah's escalating rhetoric toward the authorities to what he described as the existential challenges the group currently faces "after finding itself on the chopping block and after the decision was made to eliminate its military wing." He added that "it is not unlikely that Hezbollah will escalate in the streets in the coming days and weeks, despite President Aoun's warning that taking to the streets is a red line."

Speaking to Asharq Al-Awsat, Khashan said the available indications suggest that "Hezbollah is preparing for confrontation and that the next phase will be extremely difficult and dangerous." He added that concerns over divisions within the Lebanese Army if it were forced into a confrontation with Hezbollah are well founded and that the consequences of such a decision should not be underestimated.

According to Khashan, the army commander is fully aware of those risks and is acting accordingly. President Aoun, himself a product of the military establishment, also understands this reality well and is familiar with the army's internal composition.

Khashan believes Hezbollah is currently in a weakened position. However, he argues that strong communal solidarity has led most Lebanese Shiites to rally behind the group, believing that if Hezbollah were ultimately defeated, the gains achieved by the Shiite community over recent decades would come to an end. In their view, they want their community to remain the dominant force in the country.

A Return to Assassinations?

Ali Al-Amin, political writer and editor-in-chief of the Janoubia news website, argues that Hezbollah "is not operating as a Lebanese political party concerned with the national considerations that shape the president's positions on negotiations, Lebanon's foreign relations, or the country's security. Hezbollah today is, in effect, part of Iran's Revolutionary Guard, and its position toward President Joseph Aoun reflects Iran's position toward him."

Asked whether this rhetoric could foreshadow action by Hezbollah against domestic opponents, whether the government or rival political forces, Al-Amin said such a scenario "cannot be ruled out." He suggested it could take various forms, "including assassinations or efforts to stir unrest in the streets." However, he argued that none of these options would ultimately benefit Hezbollah.

"The more Hezbollah attacks President Aoun, the more Lebanese rally around him and the more isolated the party becomes. Any attempt by Hezbollah to provoke internal confrontation would harm everyone, but there is no doubt that Hezbollah itself would be the first to pay the price."

Hezbollah Wants the Army to Remain Neutral

Responding to another question, Al-Amin argued that Hezbollah's efforts to keep the Lebanese Army out of the confrontation are "far from innocent." He said the party has sought to amplify praise for the army as a military institution loved by all, on the condition that it satisfies all political factions by remaining neutral.

Speaking to Asharq Al-Awsat, Al-Amin said Hezbollah wants the army to remain, as it has always preferred, "a force that is effectively sidelined except when its role serves the party's own interests." He pointed to Hezbollah's refusal to hand over its positions to the army when requested, citing the case of Ali al-Taher Hill north of the Litani River. He also recalled the explosion that killed six Lebanese soldiers as they attempted to take control of one of Hezbollah's tunnels in the Tyre district following the November ceasefire agreement.

Al-Amin added that Hezbollah also seeks to exploit any disagreement between the government and the army, "even if merely superficial," in order to deepen and magnify those divisions.


IMF Backs Yemeni Reforms to Restore Economic Stability

An international program aims to reduce Yemen's budget deficit by increasing domestic revenues. (Government media)
An international program aims to reduce Yemen's budget deficit by increasing domestic revenues. (Government media)
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IMF Backs Yemeni Reforms to Restore Economic Stability

An international program aims to reduce Yemen's budget deficit by increasing domestic revenues. (Government media)
An international program aims to reduce Yemen's budget deficit by increasing domestic revenues. (Government media)

The Yemeni government and the International Monetary Fund (IMF) have reached a staff-level agreement on an 18-month economic reform program aimed at supporting economic stability, advancing fiscal and monetary reforms, and improving the management of public resources. The program is intended to help Yemen establish a credible reform track record that strengthens confidence among donors and international financial institutions.

The agreement followed talks between an IMF mission and Yemeni officials in Amman, Jordan, from July 5 to 16. The IMF stressed that the proposed program still requires approval by the Fund's management, noting that it is designed to preserve macroeconomic stability amid the continuing impact of the regional conflict while advancing economic and institutional reforms.

The IMF projects that Yemen's economy will contract by 1.5 percent in 2026, marking a fifth consecutive year of economic decline. The downturn is attributed to deteriorating terms of trade caused by the regional conflict, the ongoing energy crisis, and weak domestic demand. However, the Fund expects the economy to begin regaining stability in 2027 as regional conditions improve and economic activity gradually recovers.

The IMF also noted that Yemen will continue to rely heavily on remittances from expatriate workers and donor support to finance imports, particularly humanitarian assistance, given the country's weak public finances and declining traditional sources of revenue. It forecasts that the current account deficit will remain at around 3.4 percent of gross domestic product, while foreign exchange reserves are expected to stay at inadequate levels.

The reform program seeks to reduce the budget deficit during 2026 and 2027 by increasing domestic revenue, following a sharp decline in government spending after oil exports were suspended in 2022.

Fiscal and Monetary Reforms

The IMF said the Yemeni government has already implemented a number of measures, including the liberalization of the customs exchange rate in May, a step expected to increase customs duties and goods and services tax revenues. The authorities have also moved to strengthen tax compliance, particularly among large taxpayers and state-owned enterprises.

The program further includes measures to improve fiscal transparency by bringing previously off-budget revenues and expenditures into the official public accounts, strengthening oversight of government spending, and establishing a Treasury Single Account to improve the management of public resources.

Monetary Policy

On the monetary front, the program focuses on maintaining price stability and gradually rebuilding foreign exchange reserves. It also calls for greater exchange rate flexibility to help absorb external shocks, while reducing reliance on monetary financing of the budget deficit and improving the efficiency of the foreign exchange market.

The program also includes reforms to the financial and banking sector, including the adoption of new bank risk management frameworks, expanded supervision to cover all deposit-taking institutions, publication of audited financial statements for banks, and stronger measures to combat money laundering and terrorist financing.

The IMF said these measures will strengthen Yemen's ability to improve its fiscal position, meet its financial obligations, and create the conditions for broader discussions with international partners on debt restructuring, helping to support more sustainable economic growth in the years ahead.

Yemen and the IMF have agreed on an 18-month economic reform program. (Government media)

Electricity Sector

In the electricity sector, the IMF called for the gradual implementation of a cost recovery plan to improve the financial position of electricity utilities and reduce their reliance on government budget support. It also encouraged efforts to attract new investment to expand power generation capacity and improve the reliability of electricity supplies.

The Fund emphasized that sustained implementation of the agreed reforms will be critical to strengthening Yemen's economic recovery. It said the program represents an important step toward building a track record that would help strengthen confidence among international financial institutions and donors.

At the conclusion of the talks, the IMF mission praised what it described as constructive dialogue and close cooperation with the Yemeni authorities, reaffirming its commitment to continue working with them throughout the implementation of the reform program.


Lebanese Soldier Killed in Army Vehicle Explosion in Southern Lebanon

This photograph taken from the southern Lebanese city of Nabatieh shows smoke as it rises from the site of an Israeli-controlled explosion in the village of Kfar Tebnit on July 18, 2026. (Photo by Abbas FAKIH / AFP)
This photograph taken from the southern Lebanese city of Nabatieh shows smoke as it rises from the site of an Israeli-controlled explosion in the village of Kfar Tebnit on July 18, 2026. (Photo by Abbas FAKIH / AFP)
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Lebanese Soldier Killed in Army Vehicle Explosion in Southern Lebanon

This photograph taken from the southern Lebanese city of Nabatieh shows smoke as it rises from the site of an Israeli-controlled explosion in the village of Kfar Tebnit on July 18, 2026. (Photo by Abbas FAKIH / AFP)
This photograph taken from the southern Lebanese city of Nabatieh shows smoke as it rises from the site of an Israeli-controlled explosion in the village of Kfar Tebnit on July 18, 2026. (Photo by Abbas FAKIH / AFP)

A Lebanese soldier was killed and an officer and another soldier were wounded when a suspicious object exploded in an army vehicle in the southern Lebanese town of Mansouri, the Lebanese army said on Saturday.

The army said it was continuing to investigate the incident and did not provide further details.

Lebanon is currently engaged in negotiations with Israel centered on the withdrawal of Israeli forces from areas in southern Lebanon that have remained under Israeli occupation since its most recent war with the Iran-backed Hezbollah.