US President Donald Trump said the United States would hold Iran responsible for the Houthis’ actions and warned both would soon receive a “major military punishment”.
He also warned that the US will use Iranian money under Washington’s possession or control to pay for “any and all damages” done to ships and cargo.
The international oil benchmark Brent crude surged past US$100 a barrel for the first time since May, up seven percent, while world leaders expressed alarm after Yemen’s rebels hit oil tankers in the Red Sea.
“The situation is getting out of control. It is teetering on the edge of the unimaginable,” United Nations Secretary-General Antonio Guterres warned.
“One crisis feeds another. One escalation triggers the next,” he told a meeting of the UN Security Council.
European Central Bank President Christine Lagarde warned “the energy shock could intensify further” and push up inflation, feeding speculation about a September eurozone interest rate hike.
German Defence Minister Boris Pistorius, meanwhile, warned of “dire consequences” for oil-importing economies and said “nothing – absolutely nothing – suggests that a ceasefire, let alone peace, could be reached”.
The war resumed this month after a ceasefire that had lasted just a few weeks, throwing the region back into chaos as Iran and the United States battled for control of the vital Strait of Hormuz.
“The armed forces’ retaliatory attacks will continue as long as the US attacks on the country’s infrastructure and coastal areas continue,” Iran’s army spokesperson Mohammad Akraminia said, according to state television.
Yemen’s Houthis joined the conflict this week, declaring a blockade of Saudi ports and claiming attacks on tankers.
Jordan and Kuwait both reported intercepting strikes as Iran’s military and Revolutionary Guards claimed to be targeting US assets in both countries.
Late Thursday, Trump said on social media that the US would begin using frozen Iranian assets “that the United States has in its possession, and controls” to pay for “any and all damages done to Ships, Cargo or anything related” in the region.
While Trump has returned to war and his fierce rhetoric, the conflict is proving increasingly unpopular at home. With midterm elections looming in November, the US House of Representatives passed a symbolic vote, backed by opposition Democrats and a handful of Republicans, calling for the president to halt the war.
It came after US Central Command reported its twelfth consecutive night of strikes, saying it aimed to “further degrade Iran’s ability to threaten civilian mariners and commercial vessels transiting regional waters”.
Iranian state media said Thursday that a US attack killed two people at Shalamcheh on the Islamic republic’s border with Iraq. It also reported that two US missiles hit Bushehr, home to the country’s only civilian nuclear plant and a frequent target of Washington’s strikes.
Later, the Tasnim news agency reported a missile attack on Qeshm Island in the Strait of Hormuz.
Kuwait, meanwhile, reported a drone attack against one of its border posts with Iraq, saying it caused no casualties. The emirate also later said its air defences were “intercepting hostile missile and drone attacks following the wrongful Iranian aggression”.
The Houthis said they had carried out missile and drone strikes on two Saudi tankers in the Red Sea, the Encelia and the Layla, after declaring their blockade of Saudi ports. British naval security monitor UKMTO said the master of a tanker reported being hit by an unknown projectile about 70 nautical miles southwest of Al Shuqaiq, causing a fire.
Saudi Arabia confirmed the Encelia had been struck, without commenting on the other tanker.
The new threat in the Red Sea could compound the shock of the Hormuz closure, endangering Riyadh’s ability to bypass the strait for some oil exports.
Iran’s Revolutionary Guards said they stopped three oil tankers from transiting Hormuz, as they vie with the US Navy for control over a route through which around one fifth of the world’s oil once passed. (Agencies)
