The Strait of Hormuz is one of the world’s most strategically important shipping routes, linking the Persian Gulf to the Arabian Sea. A large share of global oil and gas exports passes through this narrow waterway. Because of its importance, rising tensions between Iran and the United States often spark fears that traffic there could be disrupted.
If the strait were blocked, the global oil market would feel the shock immediately. Around one-fifth of the world’s oil supply moves through this route each day. A closure would reduce supply, likely causing oil prices to surge and increasing fuel costs worldwide. Major Gulf exporters such as Saudi Arabia, Iraq, Kuwait, the UAE, and Qatar depend heavily on this passage, and alternative export routes cannot fully replace it.
Liquefied natural gas (LNG) shipments would also be seriously affected. Qatar, one of the world’s biggest LNG exporters, sends most of its gas through the strait. Any prolonged disruption could tighten global gas supplies, push up energy prices, and create shortages in countries that rely on imported LNG, especially in Asia.
Beyond energy, blocking the strait would have wider global consequences. Higher energy prices could fuel inflation, disrupt trade and shipping, and increase geopolitical tensions. For this reason, security in the Strait of Hormuz is closely watched, and any threat to it is considered a major risk to the global economy.