12 hours ago
Israel-Iran war: Hormuz, the world's oil chokepoint, is under tension
Since the night of Thursday, June 12, and the Israeli offensive against the Islamic Republic of Iran, all eyes have been on the Strait of Hormuz. This passage, barely 50 kilometers wide at points and located between the coasts of Iran and the Sultanate of Oman, supplies a significant share of the global oil market by linking the oil-producing countries of the Middle East with the rest of the world. Alongside the Strait of Malacca in Southeast Asia, it remains one of the most crucial zones for the trade of crude oil.
Gulf countries account for nearly a third of global oil production
The Strait of Hormuz lies at the heart of one of the world's major oil-producing regions. It is bordered by five members of the Organization of the Petroleum Exporting Countries (OPEC) – Saudi Arabia, Iran, Iraq, Kuwait and the United Arab Emirates – as well as two other producers, Qatar and Oman.
Together, these seven countries account for nearly one third of global production (including crude, shale, oil sands and condensates), or about 30 million barrels per day in 2023, according to the latest figures from the Energy Institute. "Despite the rise of shale oil in the United States [the world's leading producer], Gulf countries remain indispensable," summed up Ahmed Ben Salem, an analyst for Oddo BHF bank.
Every day, these countries export a significant portion of their output. In the first quarter of 2025, around 20.1 million barrels per day passed through the Strait of Hormuz – more than a quarter of all oil traded by sea worldwide and nearly one fifth of global consumption, according to the US Energy Information Administration (EIA).
