Yemen’s Houthis declared a complete ban on Israeli shipping in the Red Sea, sparking fresh attacks on commercial vessels amid the Gaza war.

Traffic into the Gulf of Aden has fallen sharply from 2023 levels, with fewer tankers off Djibouti in January 2024. The decline limits the Houthis’ ability to disrupt trade and dampens the economic fallout for shipping firms.

For investors, the move signals that geopolitical tension can still sway maritime routes, but current low traffic tempers immediate cost spikes. Shipping companies may need to reassess routing and insurance premiums as the region stabilizes.