The rapid escalation of hostilities in the Middle East has drawn the world’s attention to a narrow but extraordinarily consequential stretch of water: the Strait of Hormuz. This maritime corridor, situated between Iran to the north and Oman and the United Arab Emirates to the south, serves as the primary gateway through which energy exports from the Persian Gulf reach global markets. In recent days, Iran has announced measures effectively closing or severely restricting traffic through the strait in response to military strikes carried out by the United States and Israel.

The decision follows an intensifying exchange of missile and drone attacks across the region, triggered after US President Donald Trump declared expanded military operations aimed at dismantling Iranian missile and nuclear capabilities. The consequences of this closure are far-reaching because the Strait of Hormuz is not merely a regional shipping lane; it is the conduit for roughly 20 percent of global oil and a significant share of liquefied natural gas supplies. When a chokepoint responsible for one-fifth of the world’s energy trade becomes unstable, the shockwaves extend far beyond the countries directly involved in the conflict. Energy markets react almost instantaneously to geopolitical risk, and even the threat of disruption can cause oil prices to surge.