On January 22, 2025, President Donald Trump signed executive order (E.O.) 14175 initiating a process for the redesignation of the Houthis, as a Foreign Terrorist Organization (FTO).
On March 4, Secretary of State Marco Rubio redesignated Ansar Allah as an FTO. The FTO designation authorizes the Secretary of the Treasury to impose asset freezing sanctions on the organization and triggers the application of U.S law, which criminalizes the provision of material support to designated FTOs. And further outlined a process requiring a review of some U.S. assistance programs in Yemen and directed the termination “as appropriate” of certain U.S.-funded projects, grants, and contracts with entities found to have made payments to Houthi entities or insufficiently documented Houthi abuses.
The U.S. Department of the Treasury has revised general licenses providing some exceptions for transactions involving the Houthis. Exceptions for transactions involving the Houthis for trade in refined petroleum products and telecommunications have been made more restrictive.
The U.S. Administration has not specified what additional actions, resources, or authorities, if any, may be used to achieve those ends.
Since 2015, the U.S. Congress has considered the effects of conflict and sanctions on regional security and humanitarian conditions in Yemen. and provided resources and authorities to support U.S. policy, including with additional defence funding in 2024 to support U.S. regional deterrence operations.
In the 119th Congress, several proposals would authorize sanctions on the Houthis or direct the executive branch to designate the Houthis as an FTO.
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.
Yemen’s internationally recognized government has welcomed the Trump Administration’s redesignation of the Houthis as an FTO and reiterated a call for joint international-Yemeni military operations to counter the Houthis and reduce the area under their control.
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.