Strikes on Iran renew fears over Strait of Hormuz | EUROtoday

The United States and Israel launched an assault on Iran on Saturday (February 28), an escalation that would result in the closure of the Strait of Hormuz, a significant oil transport route on the mouth of the Persian Gulf.

Iran has repeatedly threatened to shut the strait, signalling that it might disrupt the very important maritime artery that carries a fifth of the world’s oil consumption.

If Iran had been to comply with by means of on its risk, oil costs might rise sharply, which might deal a large blow to the worldwide economic system. In February, oil costs rose to their highest ranges in months as merchants anxious concerning the penalties of US army strikes on Iran.

Why does the Strait of Hormuz matter?

The Strait of Hormuz is a key waterway that lies between Oman and Iran, and connects the Persian Gulf with the Gulf of Oman and the Arabian Sea.

The US Energy Information Administration (EIA) describes it because the “world’s most important oil transit chokepoint.”

At its narrowest level, the waterway is simply 33 kilometers (21 miles) huge, with the transport lane simply 2 miles huge in both course, making it crowded and threatening.

Large volumes of crude extracted by OPEC international locations like Saudi Arabia, the United Arab Emirates, Kuwait and Iraq from oil fields throughout the Persian Gulf area and consumed globally stream by means of the strait.

Around 20 million barrels of crude, condensate and fuels are estimated to stream through the waterway day by day, in line with information from Vortexa, an power and freight market marketing consultant.

Qatar, one of many world’s largest producers of liquefied pure gasoline (LNG), depends closely on the strait to ship its LNG exports.

Any lasting blockade or disruptions to grease flows might set off a pointy spike in crude costs and hit power importers exhausting, significantly in Asia.

Strait of Hormuz in focus throughout previous tensions

The waterway was additionally within the highlight throughout final yr’s battle between Israel and Iran.

During the 12-day warfare in June, nonetheless, there weren’t any main assaults on industrial transport within the area.

But shipowners had been cautious of utilizing the waterway, and a few vessels tightened safety whereas others canceled routes there in the course of the battle.

Electronic interference with industrial ship navigation techniques surged across the waterway and the broader Gulf throughout final yr’s confrontation, naval sources advised Reuters information company.

Who can be most affected in case of provide disruption?

The EIA estimates that 82% of crude and different gasoline shipments that traversed the strait went to Asian shoppers.

China, India, Japan and South Korea had been the highest locations with these 4 international locations, collectively accounting for practically 70% of all crude oil and condensate flows that traversed the strait.

These markets would possible be most affected by provide disruptions.

How will a closure have an effect on Iran and Gulf states?

Tehran has prior to now warned of blocking the oil commerce route, but it surely has by no means adopted by means of on its threats to shut off entry to the strait utterly.

An extended-term closure might additionally jeopardize Tehran’s ties with Gulf Arab states like Saudi Arabia and the United Arab Emirates — international locations with which Iran has painstakingly improved relations in recent times.

Moreover, Tehran itself depends on the Strait of Hormuz to ship oil to its export companions akin to China, making it counterproductive to shut the strait, say consultants.

Are there alternate options to the Strait of Hormuz?

Gulf Arab nations like Saudi Arabia and the UAE have sought different routes to bypass the strait in recent times.

Both international locations have arrange infrastructure to move a few of their crude through different routes.

Saudi Arabia, as an illustration, operates the East-West Crude Oil Pipeline with a capability of 5 million barrels per day, whereas the UAE has a pipeline linking its onshore oil fields to the Fujairah export terminal on the Gulf of Oman.

The EIA estimates that round 2.6 million barrels of crude per day may very well be obtainable to bypass the Strait of Hormuz within the occasion of disruptions within the waterway.

Edited by: Uwe Hessler

Editor’s be aware: This article was first revealed on June 18, 2025, and up to date on February 28, 2026, to mirror US strikes on Iran.