The designation has broad implications — not just for the Iran-backed group, which controls Yemen's capital, but also for international organizations trying to help residents badly in need of aid.
The move would be the first step towards implementation of a ceasefire agreed to by the Houthis and Saudi-backed government forces in December. The ports serve as a lifeline for humanitarian aid.
In 2015, Saudi Arabia initiated a bombing campaign against Yemen that continues today. Journalist Robert Worth says the results have been devastating — and that the U.S. shares some of the blame.
So far, the fighting has stayed in Hodeidah's outskirts. But the relative calm isn't likely to last — and aid groups are desperately calling for its port to stay open for a country already in crisis.
The U.N. pulled foreign staff from Hodeidah amid efforts to avert an attack by pro-government forces backed by the United Arab Emirates. A shutdown of the port could put hundreds of thousands at risk.
Yemen's Houthi rebels, who are fighting a Saudi-led coalition, said Tuesday they aimed at a royal palace in the Saudi kingdom. Videos appear to show the missile exploding in midair over Riyadh.
Aid workers are still reporting difficulty providing food and medical assistance to almost 20 million people after the Saudis agreed to lift a blockade of land, air and sea routes into Yemen Monday.
The strike was reportedly one of a number in and around Sanaa. Blame has been put on the Saudi-led coalition backing the internationally recognized government of exiled leader Abed Rabbo Mansour Hadi.
Despite the U.S. strike, the Obama administration still hopes to keep America's role in Yemen's war offshore, with Saudi Arabia and other Arab militaries doing the actual fighting.