Houthi Militia Imposes New Levies on Cement Sales Amid Economic Hardship

The Houthi militia has introduced additional fees on cement sales, a move expected to escalate construction costs and impose further financial burdens on citizens already struggling with severe economic instability.

Internal documentation circulating in the region indicates that the group intends to increase customs duties on cement, with the new policy scheduled for implementation on October 1. This adjustment follows a previous hike that saw duties rise from 480 to 700 Yemeni rials per unit, signaling a persistent trend of fiscal extraction by the authorities.

Economic expert Ali Al-Tuwaiti criticized the decision to raise customs and sales taxes on essential building materials, warning of the detrimental impact on the construction sector and the broader labor market. He noted that the industry serves as a primary source of income for a significant portion of the workforce, and higher costs will inevitably lead to a contraction in urban development projects.

Al-Tuwaiti further warned that reduced demand for construction materials will likely result in widespread job losses, exacerbating existing unemployment rates and deepening the current economic recession. He argued that the measures enacted by the Houthi-controlled Ministry of Finance and Customs Authority demonstrate a disregard for the dire living conditions faced by the population.

The expert cautioned that the continued pursuit of aggressive taxation policies will likely stifle economic activity, diminish consumer purchasing power, and worsen the humanitarian crisis. By inflating the costs of basic infrastructure necessities, these policies threaten to paralyze the construction sector and further destabilize an already fragile economy.