US Secretary of Defense Lloyd Austin on December 18 2023. Picture: REUTERS/Violeta Santos Moura
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Manama — US defence secretary Lloyd Austin said on Tuesday that his country is leading a multinational operation to safeguard commerce in the Red Sea as attacks by Iran-backed Yemeni Houthi militants force more major shipping companies to reroute.

The Houthis stepped up the missile and drone attacks they began last month against international vessels sailing through the Red Sea in response to Israel’s war on Hamas.

The attacks this week forced oil major BP and a slew of freight firms including Maersk to divert shipments normally going through the Suez Canal around the Cape of Good Hope, adding days to journey times and incurring higher costs.

Israel's 10-week-old war on Hamas, the Palestinian group that controls Gaza, has drawn in the US and its allies on the side of Israel, and Iran and its Arab proxy forces on the side of Hamas, risking a wider regional conflict.

Austin, who is visiting Bahrain, home to the US Navy’s Middle East headquarters, said the UK, Bahrain, Canada, France, Italy, Netherlands, Norway, Seychelles and Spain are among countries involved in the Red Sea security operation.

The group will conduct joint patrols in the southern Red Sea and the Gulf of Aden. “This is an international challenge that demands collective action,” Austin said in a statement, announcing the initiative as Operation Prosperity Guardian.

In a virtual meeting with ministers from more than 40 nations, Austin called on other countries to contribute as he condemned “reckless Houthi actions”.

But Austin’s announcement leaves many questions unanswered, including how many other countries are willing to do what mostly the US warships has done in recent days: shoot down Houthi missiles and drones, and rush to the aid of commercial ships under attack.

France said later it would join the effort to stop Houthi attacks.

Shipping companies continued to reroute on Tuesday despite Austin's announcement. Denmark's Maersk, which had paused Red Sea shipping, said it would sail its ships around Africa until further notice.

“We have faith that a solution enabling a return to using the Suez Canal and transiting through the Red Sea and Gulf of Aden will be introduced in the near future, but at this time it remains difficult to determine exactly when this will be,” it said in a statement.

Many other ships were still plying the waterway. Several have armed guards on board, LSEG data shows.

Industry sources said the effect on global trade depends on how long the crisis persists, but insurance premiums and longer routes would be immediate burdens.

Attacks persist, ships reroute

The Houthis, who control large parts of impoverished Yemen, threaten to target all ships heading for Israel, regardless of their nationality, and warn international shipping companies against dealing with Israeli ports. They have also fired missiles at Israel more than 1,000 miles away.

The group said on Tuesday the US-led security initiative would not deter them.

British maritime security firm Ambrey said on Tuesday it received information of a boarding attempt near Yemen's Aden port city. The attack failed, and all crew are safe.

United Kingdom Maritime Trade Operations said it received a report of an incident 80 nautical miles northeast of Djibouti, at the mouth of the Red Sea.

The US Navy already had a Red Sea task force that had bolstered its presence in the critical waterway. It is not clear how many countries will send additional ships or patrol aircraft after the creation of the new maritime operation.

The leadership of the new US-led operation will also fall under existing command structures, officials say.

Many key Arab allies of the US have declined to join.

The Houthis on Monday claimed a drone attack on two cargo vessels in the region. The Houthis have said that they were prepared to confront any coalition formed by the US.

About 12% of world shipping traffic normally passes through the Suez Canal, the shortest shipping route between Europe and Asia, also navigating Red Sea waters off Yemen.

Oil major BP’s decision to temporarily pause all transit through the Red Sea, and oil tanker group Frontline saying its vessels will avoid passage through the waterway, showed the crisis is broadening to include energy shipments. Crude oil prices rose on those concerns on Monday.

Western countries back Israel's fight against Hamas after the group killed 1,200 Israelis in the October 7 Hamas attack. Israel's military response, a heavy bombardment and invasion of Gaza, killed more than 19,000 Palestinians, says Hamas.

During a visit to Israel on Monday, Austin blamed Iran for the Houthi attacks. “Iran’s support for Houthi attacks on commercial vessels must stop,” he said.

Iran's ally Hezbollah in Lebanon has fired rockets across the border with Israel. Israel launched air strikes in response in the worst violence at the frontier since a 2006 Israel-Hezbollah war.

At a news conference in Tel Aviv, Austin said: “As we are driving to stabilise the region, Iran is raising tensions by continuing to support terrorist groups and militias.”

Reuters

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