️Iran’s grip on Hormuz sparks largest oil supply crisis in history

The US-Israeli war on Iran has triggered the most severe disruption in global oil markets ever recorded, the International Energy Agency (IEA) warned Thursday. Iran’s tightening control over the Strait of Hormuz, through which nearly a fifth of the world’s crude passes, has forced Gulf producers to slash output, leaving global flows at less than 10 percent of pre-crisis levels. Crude production is down at least 8 million barrels per day, with another 2 million in petroleum products offline, and analysts see no immediate end to hostilities or restoration of normal shipments.

Even a historic release of 400 million barrels from strategic stockpiles, the largest ever coordinated by the IEA, can only partially cushion the impact. Alternative routes like the Bab al-Mandab Strait remain risky due to Ansarallah, while European and Asian markets respond nervously to ongoing uncertainty. Oil prices continue to swing wildly, topping $100 a barrel before retreating to around $92, with experts warning that elevated prices are likely to persist as Iranian strikes on vessels continue.

The IEA cautioned that even if flows through Hormuz resume, global oil production will take weeks or months to return to pre-crisis levels due to the backlog of tankers and shut-in upstream fields. Analysts warn that the prolonged disruption could deepen inflationary shocks worldwide, as higher non-OPEC+ output from Russia and Kazakhstan only partially offsets the supply shortfall. The message is clear: the war against Iran is not only a regional conflict but a looming threat to the global economy.