Global Supply Chains Under Threat Amid Houthi Attacks on Shipping in Red Sea

The disruption may cause price hikes, hurting the US economy in the near future, a supply chain expert warns.

A picture taken during an organized tour by Yemen's Huthi rebels on November 22, 2023 shows a security guard aboard the Galaxy Leader cargo ship, seized by Huthi fighters two days earlier, in a port on the Red Sea in the Yemeni province of Hodeida, with Palestinian and Yemeni flags installed on it. AFP via Getty Images

As global supply chains appear to be recovering from COVID-19 pandemic disruptions, a new crisis looms, potentially carrying significant implications for the global economy.

In recent weeks, a surge in attacks on commercial ships in the Red Sea, orchestrated by Iran-backed Houthi rebels in Yemen, has prompted growing alarm in Washington as it poses a significant and immediate threat to global trade.