By Amanabo Ocholi | April 16, 2025
Washington, D.C. — The U.S. State Department has leveled serious accusations against a leading Chinese satellite firm, Chang Guang Satellite Technology Co. Ltd., alleging that it is directly supplying Iran-backed Houthi rebels in Yemen with satellite imagery used to launch targeted attacks on U.S. naval assets and international shipping in the Red Sea.
State Department spokesperson Tammy Bruce, speaking at a press briefing on Thursday, confirmed the findings first reported by the Financial Times, stating, “We can confirm that Chang Guang Satellite Technology Company Limited is directly supporting Iran-backed Houthi terrorist attacks on U.S. interests.”
According to U.S. officials, the satellite company, which has ties to China’s military-industrial complex, provided advanced geospatial data that enabled the Houthis to strike American and allied vessels with precision-guided missile and drone attacks. “This is completely unacceptable,” Bruce added. “Despite diplomatic engagements, China-based entities continue to aid rogue regimes and terrorist proxies.”
She further criticized China’s dual posture on the global stage. “While Beijing promotes itself as a champion of global peace, companies operating within its jurisdiction are fueling conflicts in the Middle East, as well as providing strategic support to regimes in Russia, North Korea, and Iran.”
The Chinese embassy in Washington has yet to issue a formal response. A spokesperson, Liu Pengyu, stated that he was not aware of the details and declined further comment. Requests for a statement from Chang Guang Satellite Technology went unanswered.
US Retaliates with Military Strikes and Financial Sanctions
In response to the escalating threat, the U.S. military launched a precision airstrike on the Ras Isa oil port in western Yemen—an important fuel hub under Houthi control. According to U.S. Central Command (CENTCOM), the operation was designed to undermine the Houthis’ financial and logistical capabilities.
“Today, U.S. forces acted to eliminate a critical source of fuel revenue for the Iran-backed Houthi militants,” CENTCOM posted on social media, emphasizing that the objective was to weaken the insurgents without inflicting harm on Yemeni civilians.
Yemen’s International Bank Targeted in Fresh Sanctions
In a coordinated move, the U.S. Treasury Department also imposed fresh sanctions on the International Bank of Yemen (IBY), including its senior executives. The bank, which plays a pivotal role in enabling Houthi financial transactions, was designated as a key enabler of terrorism financing.
“Financial institutions like IBY are essential for the Houthis to access the global financial system and continue their attacks on international commerce,” said Deputy Treasury Secretary Michael Faulkender. “We remain committed to working alongside Yemen’s internationally recognized government to disrupt this network.”
Background: Red Sea Shipping Threat and Gaza Conflict
Since November 2023, Houthi militants have launched multiple assaults on commercial vessels in the Red Sea using drones and precision missiles. The group claims these actions are in solidarity with Palestinians amid the ongoing conflict in Gaza. Analysts, however, believe the campaign is part of a broader regional strategy orchestrated by Iran.
The Houthis seized Yemen’s capital, Sanaa, in 2014, marking the start of a decade-long civil war that has drawn in global and regional powers, further complicating maritime security and oil transportation routes.
