Strait of Hormuz Disruption Slashes Global Oil Flows

The Strait of Hormuz, a vital chokepoint for global oil shipments, remains severely disrupted amid escalating tensions in the US-Iran conflict, with commercial traffic plummeting to levels far below normal and prompting widespread rerouting efforts by Gulf exporters. The crisis, which intensified after US and Israeli strikes on Iran on February 28 in response to perceived nuclear and regional threats, has led to a functional blockade that threatens one-fifth of the world's oil and liquefied natural gas flows through the narrow waterway connecting the Persian Gulf to the Arabian Sea.

On April 12, following the collapse of ceasefire talks in Islamabad, President Donald Trump announced that the US Navy would enforce a blockade on ships linked to Iranian maritime trade, effective immediately. Iranian officials had earlier restricted passage, allowing transits only under their control and subject to fees, a move that reduced daily commercial ship crossings to as few as 11 on April 15, according to ship-tracking data, compared to an average of 135 the previous year. While no formal closure has been declared under international maritime law, the combined effects of naval patrols,...