Iran’s May oil exports drop to 209,000 bpd, six-year low

Iran's oil exports plummeted to their lowest level in at least six years in May, as a sustained U.S. naval blockade and weakening Chinese demand severely restricted the country's primary source of revenue. The dramatic decline has left tens of millions of barrels of crude stranded at sea and is contributing to severe economic strain within Iran.

Shipping data from analytics firm Vortexa indicates Iran exported just 209,000 barrels per day of crude oil and condensate in May, a steep drop from 1.34 million barrels per day in April and nearly 1.9 million in March. Another energy intelligence firm, Kpler, estimated a slightly higher May figure of 260,000 barrels per day, which still represents the lowest monthly level since the height of previous U.S. sanctions pressure in 2019-2020.

The current restrictions escalated in mid-April when U.S. naval forces initiated what officials described as a counter-blockade in the Arabian Gulf and Gulf of Oman, targeting vessels linked to Iranian trade. The objective, according to U.S. Central Command, is to restrict Iran's maritime commerce without fully closing the strategic Strait of Hormuz. A report from the advisory group United Against...