Yemen, the Houthis, & the Red Sea | Battle for the Future of Global Trade
Well, okay. So the Houthis, are disrupting the Red Sea, disrupting, shipping and transport in the Red Sea. And now, all of the major companies basically, of the major companies, the ones that matter the most, shipping companies, are saying that they are going to, bypass the Red Sea. They're not gonna travel through the Red Sea. They're not gonna ship through the Red Sea.
That includes, oil and gas shipments going through the Red Sea. Now all of those ships, those container ships, are going to have to, take a course, take a route all the way around the Cape Of Good Hope, all the way around Africa. That's I think adding about 54 4050% more distance for those for those ships depending on where they're going. Of course, most of them are going to Europe. So as I said before, the impact of what the Houthis are doing, let's think about that.
The impact of what they're doing, it's disrupting global transport, which is disrupting global supply chains, disrupting global trade, international trade. It is increasing the oil consumption, the energy consumption, fuel consumption for global shipping. That's good for oil producers. It is spiking the price of oil. That's good for oil producers.
Spiking the price of natural gas. All energy fuel prices are gonna go up and already have gone up. So that's good. That's good for Saudi Arabia. That's good for The UAE.
That's good for The Gulf. Who it's not good for predictably, because nothing seems to be good news for them these days, is Europe. This is just another aspect of cutting Europe off from any other sources of support, any other options for independence or political independence or economic independence, economic sovereignty. It's cutting them off to where now they're going to become even more dependent upon oil and natural gas from The United States. This is in my in my opinion, this is all in conjunction with the, destabilization plan against Europe that has been going on ever since the Ukraine war started, and more specifically, the, sanctions regime against Russia.
That was always intended to destabilize Europe, to subjugate Europe, to de industrialize Europe, and to make Europe more and more like the so called third world. Now you you noticed that this is happening right at the start of winter in Europe. So it's gonna be very difficult for winter. The energy prices are going to be even higher than already than they already were. The energy prices are gonna be even higher than they were last year.
The only ones who were really hurt by this, by what the Houthis are doing, the only ones who are really hurt by this is the EU, the Europeans. Now you have to bear in mind that all of this is also happening within the context of rapprochement between Saudi Arabia and Iran. And the unprecedented diplomatic coordination between the BRICS countries, between Saudi Arabia and Iran, and Russia and China, as well as South Africa. I mean, it's not inconceivable. I mean, if you think about the the the fact that all of these ships that were going through the Red Sea are now gonna have to pass around the Cape Of Good Hope, and most likely, they're gonna be docking in South Africa at some point, and that's gonna be financially beneficial for for South Africa, which is a BRICS nation.
Everything that's happening, subhanallah, everything that's happening appears to be a boost for the BRICS nations including Saudi Arabia, including The UAE, and including India. Because if you think about it also, I can't think of anything that would have been, have provided more of a boost for the India, Middle East, Europe trade corridor that's been planned than what the Houthis are doing. What the Houthis are doing in the Red Sea is allowing Saudi Arabia and their BlackRock partners and their partners in the in the Western, but not necessarily western oriented, globally oriented OCGFC to make the point that the Saudi plan, the Saudi plan for the region, the Saudi plan for the Middle East is your only option moving forward. Because if conflict continues in the region, the whole global economy is gonna be devastated. If war breaks out over what's happening in the Red Sea and if The United States is allowed to escalate the conflict to become a war against Iran, that's gonna be devastating for the global economy.
You know, Saudi Arabia has been trying to figure out ways that they can get the oil price up. They've been trying to figure out ways to increase consumption of fossil fuels, particularly, they have focused on shipping. Well, you've just you you now you have the perfect way to increase fuel consumption by international shipping. And it's also providing a very convincing argument for why you need this India, Middle East, Europe trade corridor that also bypasses the Red Sea. Bear in mind also that this trade corridor passes through Israel.
So this is also creating more of an incentive to integrate Israel into the region. It's creating an incentive to Israel because look at what because look at why the why are the Houthis doing what they're doing officially? The official reason that they're doing what they're doing is because there was no ceasefire and because of the genocidal violence of the Zionists in Gaza. This is the reason why they're doing what they're doing. So the insistence on Zionism, the insistence on, supporting, Israeli genocidal violence is creating a threat to the global economy.
So they're sending a message that conflict and violence is not the way forward. But integration is the way forward. Integration is the way for a stable global economy. Because pursuing the path of violence and conflict is gonna spike the oil prices, it's gonna disrupt the supply chain, it's gonna increase transport insurance, the cost of transport, international shipping. It's devastating.
It's incredibly destabilized. However, if you are peaceful and and pursue peaceful integration into the region, everything can flow normally. To one extent or another, I believe that what the Houthis are doing is with the coordination of Saudi Arabia and Iran and Russia and with China and the BRICS nations to some extent. I mean the Houthis are more or less autonomous. Are they are Iranian proxies within reason.
They do still operate with a level of autonomy. However, I don't think that they operate completely without direction. You notice that Saudi Arabia and The UAE and only none of the Gulf states except for Bahrain, none of the Gulf states are participating in America's so called what operation prosperity guardian or whatever it's called. This this operation is not about, guarding anyone's prosperity but The United States in terms of their, oil and gas shipments to Europe. The prosperity for their oil and gas companies and their oil and natural gas shipments to Europe.
That's the only prosperity that can possibly come out of this. Because obviously when you militarize, the Red Sea, and you increase the risks, you're not you're not guaranteeing that ships are gonna pass through the Red Sea now. Just because those warships are there, that's not gonna, embolden anyone or give anyone enough confidence now to bring their ships into what looks like a war zone. You're guaranteeing that those ships that that commercial transport is not gonna move through the Red Sea. Not to mention the fact that, if if they have to pass through what appears to be a war zone, the cost of, insurance for the for for, international transport is gonna skyrocket.
So no, the the America America's actions are not helping the situation in any way, shape or form. They are exacerbating the they're actually exacerbating the impact of what the Houthis were doing. Because the only way that you can actually and this and you notice that that Saudi Arabia has tried to warn The United States to to exercise restraint and to not pursue a military strategy against the Houthis. Saudi Arabia talking about don't pursue a military strategy against the Houthis in response to their attacks on the vessels in the Red Sea. Because they're showing that the only option is to get on board with the Saudi plan because it's a Saudi plan and it's a black rock plan for the region, in my opinion.
And then, you you know, you have this talk about there was a an article in the in in Israeli newspaper that was saying that a land bridge has been activated going through Saudi Arabia, going through Jordan into Israel. Jordan has denied it. Saudi Arabia, I believe has denied it. UAE also was supposed to be involved in this. Now that deal was signed only about ten days ago.
That's a deal. It's a it's a deal. That deal actually exists, but it was only signed about ten days ago. And it will requires some 2,000 kilometers of road and infrastructure. It's doubtful to me whether or not any shipments have actually started on that because I am doubtful, I am dubious, skeptical as to whether or not 2,000 kilometers of infrastructure has actually been laid and completed in ten days time.
But even if that land bridge exists, I don't really see why there's any reason to be upset about that. I don't see any reason why anyone should be angry about that. All that does is create greater dependence from Israel on The UAE and Saudi Arabia and Jordan. That gives the the the neighboring countries leverage. There's no reason to be angry about that.
And the same thing is true about the India, Middle East, Europe trade court. That's creating a dependency not only for Israel but also for Europe and also for India. It's making The UAE and Saudi Arabia a hub of trade between Asia and the West. It's incredibly strategic and both the potential land bridge that I don't again, I don't believe it's actually been activated. I don't believe any shipments have actually passed as yet, but this land bridge idea and the corridor, trade corridor, both of these measures create greater dependency for Israel and isolate Israel.
And it shows the owners and controllers of global financialized capital that there is a feasible way of handling the region and that way for the region requires an end to the conflict. It requires peace. It requires integration of Israel into the region. And as long as they continue to be supported by The United States, as long as their genocidal Zionist violence continues to be supported by The United States, the region is never gonna be stable and you're never gonna be able to pursue any of these very viable, very profitable and potentially prosperous strategies for the region. And I don't think that anyone from the OCGFC or anyway from the majority of the factions of the OCGFC are gonna be interested in continuing to pursue the policy of conflict and instability.
Because look, if you go to if if The United States escalates and this becomes a war with Iran, then the Straits Of Hormuz are gonna be are are going to be closed. So then you have the Red Sea is closed, Suez is functionally, practically speaking, Suez is closed, the Straits Of Hormuz are closed and no oil from The Middle East is gonna move at all And the price of oil will go to over $100 a barrel, maybe 200, who knows, depending on how long it goes on and how bad it gets. And international shipping will come to a grinding halt and that hurts everyone from the OCGFC. But the Saudi Arabian plan that they're pursuing and that the actions of the Houthis are boosting, they're boosting that plan. The plan of the Saudis allows for stable profits, stable prosperity, stable international shipping, stable international trade.
They're providing exactly what Bin Salman talked about The Middle East becoming a new Europe, the new Europe. That's exactly what this plan is putting in place and it's also like I said before, it's incentivizing the actual integration of Israel into into the region which it goes without saying requires their abandonment of Zionism. Because Zionism is what is what has gotten us to this point and diplomacy and coordination and integration are the only things that can provide a way out. And I think a way out is what the OCGFC want. So there's a lot of ramifications for what the Houthis are doing.
And I don't personally believe for a second that the Houthis are acting on their own or without instruction or without guidance from Iran who's who's operating upon the instructions or upon the guidance or upon coordination anyway with Saudi Arabia and Russia and China and the BRICS nations in total. And aloha, Adam.
تمّ بحمد الله