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                                                                                                   January 27, 2025

Yemen: Terrorism Designation, U.S. Policy, and Congress


On  January 22, 2025, President Donald Trump issued an
executive order (EO) initiating a process for the
redesignation of the Yemeni Shia Islamist group Ansar
Allah (Arabic for the Partisans of God), commonly
referred to as the Houthis, as a Foreign Terrorist
Organization (FTO). An FTO  designation authorizes the
Secretary of the Treasury to impose asset freezing sanctions
on the organization and triggers the application of 18
U.S.C. §3229B,  which criminalizes the provision of
material support to designated FTOs. The order further
outlines a process requiring a review of some U.S.
assistance programs in Yemen and directs the termination
as  appropriate of certain projects, grants, and contracts
with entities found to have made payments to Houthi
entities or insufficiently documented Houthi abuses (see
below). The Houthis have controlled most of northern
Yemen   since 2015. Prior U.S. sanctions policy provided
some  exceptions for transactions in Yemen.
Houthi attacks since October 2023 have disrupted regional
security and global maritime commerce. The group receives
material support from Iran and Russia and has attacked
Israel, U.S. vessels, and (before October 2023) Saudi
Arabia and the United Arab Emirates (UAE). The EO  and
statement say that U.S. policy is to cooperate with regional
partners to eliminate Houthi capabilities and operations,
as well as to deprive the Houthis of resources. It does not
specify additional actions, resources, or authorities that may
be used to achieve those ends.
President Trump previously designated the group as both an
FTO  and an entity subject to sanctions under the Specially
Designated Global Terrorist (SDGT) program in January
2021. President Biden revoked both designations, citing
concerns that they could impede the delivery of
humanitarian assistance or jeopardize efforts to promote
dialogue aimed at establishing ceasefire in the war in
Yemen.  In February 2024, the Biden Administration
reimposed sanctions on the Houthis as an SDGT, citing
unprecedented attacks against international maritime
vessels in the Red Sea and Gulf of Aden.
Congress  and Yemen.  Since 2015, Congress has
considered the effects of conflict and sanctions on regional
security and humanitarian conditions in Yemen. Congress
has provided resources and authorities to support U.S.
policy, including providing additional defense funding in
2024 to support U.S. regional deterrence operations. Since
the 117th Congress, some Members have called on the
executive branch to designate the Houthis as an FTO and
have introduced legislation to do so. The Trump
Administration has not said whether it intends to request
additional funds or authorities from Congress in support of
its wider Yemen policy.


The 119th Congress may seek additional information from
the Administration concerning its policy toward Yemen and
the Houthis, its expectations about the reactions and
intentions of Yemeni and other international actors, its
projections of the benefits and costs of different options,
and its plans with regard to U.S. humanitarian assistance in
Yemen.  Congress may  consider opportunities to influence
U.S. policy toward Yemen, including via authorization and
appropriations legislation, with regard to U.S. sanctions,
diplomacy, assistance programs, and military operations.
Policy Context
Political-Military Developments. More than 100 Houthi
attacks on Israel and on international shipping and U.S. and
partner naval vessels in the Red Sea region have occurred
from October 2023 to January 2025, with the Houthis
claiming their attacks were intended to support Palestinians
and secure an end to Israeli operations against the
Palestinian Sunni Islamist group and U.S.-designated FTO
Hamas.  In January 2025, Yemen's representative to the
United Nations (UN) rejected Houthi justifications.
Yemen's  internationally recognized government has
welcomed  the Trump Administration's announced intention
to redesignate the Houthis as an FTO. Leaders of Yemen's
Southern Transitional Council (STC) also welcomed the
U.S. decision and reiterated a call for joint international-
Yemeni  military operations to counter the Houthis and
reduce the area under their control. The STC has received
military aid from the UAE and seeks to reestablish southern
Yemen  as a separate state, which it was prior to 1990.
In a September 2024 report, the United Nations panel of
experts on Yemen  described the transformation of the
Houthis from a localized armed group with limited
capabilities to a powerful military organization, extending
their operational capabilities well beyond the territories
under their control. The panel attributed the Houthis'
evolution to unprecedented transfers of material support
from Iran, Lebanese Hezbollah, and Iraqi armed groups.
U.S. officials have condemned Houthi attacks and the
Houthis' detention of Yemenis with ties to UN or U.S.
government  entities and aid organization. U.S. sanctions
have been levied against additional Houthi operatives and
supporters. U.S. military strikes have targeted Houthi
weapons  and related facilities in Houthi-controlled areas of
Yemen  since January 2024, including a January 8, 2025
strike targeting two underground storage facilities.
Israel has responded to deadly Houthi attacks on its
territory with several strikes in Yemen, including December
2024 and January 2025 strikes targeting Houthi-controlled
ports and a power station and the international airport in
Sana'a. Israeli officials have said they will continue to act
against the Houthis in response to attacks on Israel and have
threatened to target the Houthis' leadership.

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