Yemeni military strikes cripple Israel’s strategic Eilat port

Eilat port in the occupied territories will cease operations due to unpaid debts following a sharp decline in revenue caused by Yemeni army attacks in the Red Sea.

The Israeli business and economic newspaper Calcalist reported that the Eilat municipality has frozen the port’s bank accounts, totaling about 10 million shekels (3 million dollars), because of unpaid taxes.

The port has experienced a severe drop in income due to the Yemeni army’s attacks on ships associated with the Israeli regime.

The Israeli Shipping and Ports Authority recently announced that due to the financial crisis caused by ongoing conflicts, the Eilat municipality has informed the port management that all its bank accounts have been frozen. As a result, a notice from the Shipping and Ports Authority indicated that Eilat port will likely close and halt all its operations.

Eilat port’s revenue dropped to only 42 million shekels (12.5 million dollars) in 2024, which is 80% less than the 212 million shekels (63 million dollars) in 2023, after ships were rerouted to the Mediterranean ports of Ashdod and Haifa.

Informed sources at Eilat port told Calcalist that this closure will symbolize a victory for the Yemeni army and a defeat for the Israeli regime’s economy.

A member of the Knesset from the right-wing “Israel Beiteinu” party told Middle East Eye that the closure of Eilat port is an embarrassment for the Israeli cabinet.

According to this representative, who chairs the Negev and Galilee Development Committee in the Knesset, the Israeli cabinet has failed to eliminate the threat to the shipping routes to Eilat, effectively suffocating the regime’s southern trade gateway.

The Israeli official said: “For months we warned about the collapse of Eilat port due to the failure to counter the Yemeni threat. Instead of decisive action to keep the shipping lanes open and implement support policies, the cabinet allowed the port to gradually deteriorate, causing increasing damage every day.”

In 2023, about 150,000 vehicles were unloaded at Eilat port and 134 ships docked there; in 2024, according to data from the Israeli Ministry of Transportation, no vehicles were unloaded, and the number of docked ships fell to 64. By May 2025, only 6 ships had docked throughout the year at the port.

Informed sources at Eilat port say the Israeli cabinet has not provided them with sufficient support.

An Eilat port official said: “They trapped us, this is terrible. This is a victory for the Yemenis in the war against Eilat and Israel’s economy.”