US Removes Eritrea from Sanctions List Amid Red Sea Tensions

The United States Department of Treasury has announced the removal of sanctions on several key Eritrean entities, including the country's military and the People's Front for Democracy and Justice. This decision reverses penalties originally imposed in 2021 during the conflict in Ethiopia’s Tigray region, where Eritrean forces fought alongside the Ethiopian federal government. The move marks a significant diplomatic pivot, occurring at a time when the strategic importance of the Red Sea has become a central focus for global powers and regional actors alike.

Alongside the institutional designations, the US also lifted sanctions on Hagos Ghebrehiwet, a senior economic advisor to President Isaias Afwerki. According to the Treasury statement, these measures were lifted to facilitate broader regional stability and cooperation. The timing is notable given the shifting dynamics in the Horn of Africa, where former allies have recently found themselves on opposing sides of the conflict in Sudan and the broader Red Sea security landscape.

Shifting Alliances in the Horn of Africa

The diplomatic thaw comes against a backdrop of intensified rivalry between Ethiopia and Eritrea. While the two nations cooperated during the 2020-2022 Tigray war, their relationship has since deteriorated. Ethiopia has reportedly deepened ties with the United Arab Emirates and Israel, assisting in the provision of military support to the Rapid Support Forces in Sudan. In contrast, Eritrea has aligned itself with the Sudanese Armed Forces, alongside Egypt, Turkey, and Saudi Arabia, creating a distinct bloc of interests in the region.

Eritrean Foreign Minister Osman Saleh has publicly criticized the UAE’s regional ambitions, accusing the Gulf state of pursuing what he described as port imperialism across Africa. In an exclusive interview with Middle East Eye, Saleh suggested that the UAE seeks to establish a Red Sea naval base for joint use with Israel. These accusations have further strained relations between Asmara and Abu Dhabi, which once hosted a UAE military presence in the Eritrean port of Assab.

Strategic Importance of the Red Sea

Eritrea holds a critical geographic position, commanding over 1,000 kilometers of coastline along the Red Sea. The Bab el-Mandeb Strait, a vital chokepoint for global trade, is bordered by the territorial waters of Djibouti, Eritrea, and Yemen. At its narrowest point, the distance between Eritrea and Yemen is approximately 20 nautical miles. This proximity places Asmara directly in the line of sight of the Houthi forces, who have recently expanded their control over Yemen’s Red Sea coastline and are contesting for inland cities like Taiz and Marib.

Amid these tensions, Saleh stated that there is no military solution to the conflict in Yemen. He emphasized that littoral states must take the lead in managing freedom of navigation in the Red Sea, a task complicated by the lack of a unified government in Yemen. The Eritrean government maintains that stability in the region requires diplomatic engagement rather than further military escalation, a stance that appears to be gaining traction in Washington’s current approach.

Future Watchpoints for Regional Stability

The lifting of sanctions by the US, as reported by GN auto geopolitics/africa: Horn of Africa, signals a willingness to engage with Asmara as a stabilizing force rather than a destabilizing one. However, the complex web of alliances in Sudan and Yemen remains fragile. Observers should watch for any further military deployments in the Assab region and how Ethiopia and Eritrea navigate their competing interests in the coming months. The success of this diplomatic shift will depend on whether regional actors can align their security goals in a way that reduces the risk of broader conflict in the Red Sea.