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US lifts sanctions on Eritrea's ruling party and military

US lifts sanctions on Eritrea's ruling party and military

Rule Changes

Washington lets five-year emergency over Tigray war expire as it pivots to Red Sea security

Yesterday: State Department cites Red Sea interests

Overview

Updated 2 hours ago

The US Treasury lifted sanctions on September 18 against Eritrea's ruling party, military, and two linked businesses. A five-year national emergency declared by President Joe Biden in 2021 expired without renewal, erasing penalties imposed after Eritrean troops joined Ethiopia's assault on Tigray fighters.

The delisting clears the People's Front for Democracy and Justice, the Eritrean Defense Forces, Red Sea Trading Corporation, Hidri Trust, and two senior officials from the Treasury's sanctions list. It ends asset freezes and a general bar on US transactions with the four entities and two individuals.

The decision comes as Houthi forces in Yemen threaten shipping through the Bab el-Mandeb Strait, where Eritrea's coast and the port of Assab anchor the corridor linking the Red Sea, the Suez Canal, and the Indian Ocean. A State Department spokesperson said the move was 'to advance US regional interests.'

Why it matters

The delisting unlocks US access to Eritrea's Red Sea coast for countering Houthi threats, while ending five years of asset freezes.

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Key Indicators

5 years
Years emergency was in force
National emergency declared September 2021, expired September 2026.
4
Entities delisted
PFDJ, Eritrean Defense Forces, Red Sea Trading Corporation, Hidri Trust.
2
Officials delisted
Hagos Ghebrehiwet and Abraha Kassa Nemariam removed from SDN List.

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People Involved

Organizations Involved

Timeline

November 2020 September 2026

7 events Latest: Yesterday
Tap a bar to jump to that date
  1. State Department cites Red Sea interests

    Latest Statement

    State Department says delisting 'advances US regional interests,' pointing to Red Sea security concerns and Houthi threats to shipping.

  2. Emergency expires, OFAC delists Eritrean entities

    Sanctions

    The national emergency ends. OFAC removes the PFDJ, EDF, Red Sea Trading Corporation, Hidri Trust, Ghebrehiwet, and Nemariam from the SDN List.

  3. Trump extends emergency one year

    Policy

    Trump extends the national emergency through September 17, 2026, citing continued threats to peace in northern Ethiopia.

  4. Pretoria peace agreement signed

    Diplomacy

    Ethiopia's federal government and Tigray's forces sign a peace accord. Eritrea, a major belligerent, is not a party.

  5. Treasury sanctions Eritrean entities

    Sanctions

    OFAC designates the PFDJ, Eritrean Defense Forces, Red Sea Trading Corporation, Hidri Trust, and two officials, freezing assets and barring US transactions.

  6. Biden declares national emergency

    Policy

    Biden signs E.O. 14046, declaring a national emergency over the humanitarian and human rights crisis in Ethiopia.

  7. Tigray conflict erupts

    Conflict

    Ethiopian federal forces and Eritrean troops battle fighters loyal to the Tigray regional government. Eritrea enters on Ethiopia's side.

Scenarios

1

US-Eritrea security pact unlocks Assab port access

Possible Resolves by Q2 2027

Discussed by: Bloomberg, ABC News, Middle East Eye

Houthi attacks on Red Sea shipping push Washington to seek logistics or basing access at Eritrea's port of Assab, near the Bab el-Mandeb Strait. Eritrea, historically wary of foreign bases, could grant limited access in exchange for economic engagement or security guarantees. A formal agreement or memorandum of understanding would signal the shift.

2

Sanctions relief changes little; Eritrea stays isolated

Likely Resolves by Q2 2027

Discussed by: Martin Plaut, Somalia Today

Eritrea's regime continues its closed, militarized governance without engaging Washington. The delisting removes a point of leverage without producing a diplomatic breakthrough. US-Eritrea relations remain limited and transactional, with no new cooperation agreements or economic opening.

3

Ethiopia-Eritrea tensions flare into new confrontation

Possible Resolves by Q2 2027

Discussed by: Somalia Today, Middle East Eye

Ethiopia's push for Red Sea access and disputes over Eritrean troop positions along the border escalate into renewed confrontation. With sanctions lifted, Washington loses a tool for pressuring Asmara, complicating efforts to mediate between the two former allies.

Historical Context

2 moments from history that rhyme with this story — and how they unfolded.

December 2009 - November 2018

UN sanctions on Eritrea lifted after regional peace (2009-2018)

The UN Security Council imposed an arms embargo, travel ban, and asset freeze on Eritrea in 2009 over its border conflict with Djibouti and alleged support for Al-Shabaab in Somalia. Asmara rejected the allegations as politically motivated.

Then

Eritrea's isolation deepened, and the regime lashed out at the UN for years.

Now

Sanctions lifted in November 2018 after Eritrea and Ethiopia made peace and Asmara resolved the Djibouti dispute, showing that regional rapprochement could unlock relief.

Why this matters now

The same pattern recurs now: sanctions lifted as part of diplomatic recalibration, not because the underlying behaviors were adjudicated.

October 2017

US sanctions relief for Sudan (2017)

The US lifted economic sanctions on Sudan imposed two decades earlier, citing Khartoum's cooperation on counterterrorism and humanitarian access. Relief was conditioned on continued progress.

Then

Sudan gained access to the US financial system, and foreign investment eased.

Now

The relief preceded Sudan's 2019 revolution and the ouster of Omar al-Bashir, showing that sanctions relief can precede regime change—or fail to prevent it.

Why this matters now

Illustrates Washington's transactional approach: sanctions are lifted when strategic interests shift, not necessarily when the targeted regime reforms.

Sources

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