On November 14, 2024, the U.S. government announced new sanctions against 26 companies, individuals, and a vessel linked to the Qatergy Company, which is accused of financing the Houthi group, designated as a terrorist organization, and Iran's Quds Force.

According to a statement from the U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC), the Qatergy Company, a Syrian entity, is responsible for generating hundreds of millions of dollars in revenue for the Quds Force and the Houthis by selling Iranian oil to Syria and the People's Republic of China.

The statement noted that the Qatergy Company had previously been sanctioned for facilitating fuel sales between the Syrian regime and the Islamic State (ISIS) but has since become a primary revenue channel for the Quds Force, funding its regional proxy groups.

OFAC indicated it is intensifying efforts to target the Qatergy network and its fleet of vessels to prevent the Quds Force from benefiting from these operations.

Bradley Smith, U.S. Treasury's Under Secretary for Terrorism and Financial Intelligence, remarked, “Iran increasingly relies on key business partners like the Qatergy Company to fund its destabilizing activities and terrorist networks across the region.”

He emphasized that the Treasury would continue to take all available measures to restrict the Iranian regime's ability to exploit illicit schemes that enable its dangerous regional agenda.

The sanctions were imposed under Executive Order 13224, which targets individuals and entities providing material support to terrorist organizations. The U.S. State Department classified the Houthis as Specially Designated Global Terrorists under this same executive order in February 2024 for their engagement in terrorist activities.

The Qatergy Company exports millions of barrels of Iranian oil, valued in the hundreds of millions of dollars, to Syria and East Asia, including China, to finance the Iranian Revolutionary Guard and the Houthis. As of 2024, it has emerged as a major financial conduit for the Quds Force, generating substantial revenue, much of which is laundered through major cities like Istanbul and Beirut.

Hossam bin Ahmad Rashdi Qatergy took over the company following the death of Muhammad Qatergy in mid-2024. The company's executives have reportedly met directly with senior officials in the Quds Force and other financial supporters, including the Houthi financier Saeed Al-Jamal, who is also under sanctions.

The recent sanctions require that all property and interests belonging to the listed individuals and entities, as well as any entities they own directly or indirectly by 50% or more, be blocked in the U.S. or under U.S. control.

Since the beginning of 2024, the U.S. has issued a series of sanctions against entities and individuals linked to what it calls the Houthi financing network associated with Saeed Al-Jamal, including actions against individuals and entities that facilitated the purchase of weapons for the Houthis, who have targeted civilian vessels in the Red Sea.

Despite these ongoing sanctions, there is a growing local debate regarding their effectiveness, with critics arguing that they do not significantly impact the group's operational capabilities or their external logistical supply lines.