US to lift Eritrea sanctions as Red Sea tensions shift alliances

The United States is preparing to lift sanctions on Eritrea, according to an internal US government document reviewed by Reuters, in a move that analysts say reflects the country's strategic value along the Red Sea corridor.

US to lift Eritrea sanctions as Red Sea tensions shift alliances

Wednesday May 6, 2026

The United States is preparing to lift sanctions on Eritrea, according to an internal US government document reviewed by Reuters, in a move that analysts say reflects the country’s strategic value along the Red Sea corridor.

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The US has reportedly declared plans to lift sanctions imposed on Eritrea, led by President Isaias Afwerki, in 2021. / Public domain

The United States is set to remove sanctions against Eritrea, according to an internal US government document seen by Reuters, a step that analysts linked to the African nation’s location on the vital Red Sea shipping route.

Washington’s move is designed to help reset relations with Eritrea, whose long Red Sea coastline sits opposite Saudi Arabia.

The war in Iran and closure of the Strait of Hormuz, close to Saudi Arabia’s eastern coast, have brought into focus the importance of having control over the Red Sea, a key conduit for trade between the Mediterranean and Asia.

In 2021, the Biden administration imposed sanctions on Eritrea’s ruling party, its military and senior officials, citing their role in the war in neighboring Ethiopia. US officials said Eritrean forces supported Ethiopian troops in fighting regional authorities in the northern Tigray region.

Sweeping sanctions

According to the internal government document, a note sent by the US State Department to several countries, the United States would rescind “on or around May 4” an executive order signed by Biden that put the penalties in place. Diplomatic relations between Washington and Asmara had been strained for decades before those measures were introduced.

It was not immediately clear when the formal announcement of the rollback would come. The State Department and Treasury Department did not respond right away to requests for comment.

The 2021 sanctions were broad in scope, targeting Eritrea’s military, the ruling People’s Front for Democracy and Justice (PFDJ) and the head of the Eritrean national security office, among others.

But the conflict involving Iran has sharply disrupted oil flows and shipping in the wider region, underscoring Eritrea’s importance as a country the US may now see as increasingly consequential to engage.