Red Sea Security & Shipping Costs: Houthi advances along Yemen’s Red Sea coast are tightening pressure on Bab el-Mandeb, with UN figures saying 112,000+ displaced in Yemen and nearly 3,000 fleeing by sea to Djibouti; war-risk insurance and freight costs are rising as traffic thins and some operators avoid the corridor. Djibouti–Ethiopia Trade Link: Ethiopia’s push for “sovereign” Red Sea access is colliding with the reality that most Ethiopian cargo still moves via Djibouti—Port of Djibouti handling about 97% of Ethiopia’s maritime cargo—so corridor stability and insurance pricing directly shape export competitiveness. Multinational Naval Response: Saudi-led efforts are moving toward operations, with a 14-country maritime defense coalition edging closer to deploying ships to protect navigation in the Red Sea and Gulf of Aden. Saudi Attacks Hit Logistics: Explosions and black smoke near Riyadh’s King Khalid airport disrupted flights, with reports pointing to fuel-tank damage near Aramco facilities amid “hostile aerial threat” alerts. Humanitarian Pressure on Djibouti: UN agencies warn Djibouti faces acute strain as arrivals from Yemen increase, adding to an already crowded refugee situation. Regional Port Performance: Djibouti jumped to 53rd globally in the World Bank container port ranking, underscoring why Red Sea risk matters for Horn of Africa logistics.