Strait of Hormuz Remains Closed, Oil Prices Continue to Face Downward Pressure

The Strait of Hormuz has remained closed since the United States and Israel commenced military operations against Iran, resulting in surging oil prices and increased petrol costs.

The Strait of Hormuz is a vital waterway for transporting crude oil from oil-rich countries such as Saudi Arabia and Kuwait to markets worldwide. Currently, Iran controls the northern side of the strait.

According to CNN, Iran has continued to transport its own oil through the strait since the conflict began, as only Iranian vessels are able to navigate it. Meanwhile, international oil tankers remain trapped in the Persian Gulf.

Many countries have not yet responded, although Trump has stated that several positive responses have been received.

The British Maritime Authority reported at least 14 attacks against ships near the Strait of Hormuz. The waterway remains under critical threat despite no incidents being reported in the previous three days.

The conflict with Iran has driven oil prices upwards for two primary reasons: the near-closure of the Strait of Hormuz and the slowdown in Middle Eastern oil production.

In the United States, the AAA national average price for regular petrol has surged to its highest level during either of Donald Trump’s terms in the White House.

According to the US Energy Information Administration, approximately 20 million barrels of oil—roughly one-fifth of global daily production—flowed through the strait each day before the current conflict.