The Strait of Hormuz: The World's Most Critical Oil Chokepoint

The Strait of Hormuz is a narrow waterway approximately 21 miles (34 km) wide at its narrowest point, connecting the Persian Gulf to the Gulf of Oman and the open ocean. It lies between Iran to the north and Oman/UAE to the south. ## Strategic Significance Approximately 20 million barrels per day of crude oil and oil products transited the strait in 2025 — roughly 20-25% of global seaborne oil trade and about 20% of total global oil consumption. Additionally, over 112 billion cubic meters of LNG (liquefied natural gas) transited annually, representing approximately 20% of global LNG trade. ## Why It Matters The strait is the only sea passage from the Persian Gulf to the open ocean. Major oil-exporting nations — Saudi Arabia, Iraq, Kuwait, UAE, and Qatar — depend on it for the vast majority of their exports. There is no alternative route with comparable capacity. The Abqaiq–Yanbu pipeline (East-West Pipeline) in Saudi Arabia can bypass the strait for a fraction of Saudi output, but no equivalent exists for other Gulf producers. ## Vulnerability Any disruption — military conflict, mine deployment, vessel seizure, or political blockade — immediately affects global oil and gas prices regardless of where the consuming nation sources its energy. Oil is priced on a global market; a supply shock at Hormuz raises prices everywhere. The 2026 Strait of Hormuz crisis, triggered by the US-Israel air campaign against Iran beginning February 28, 2026, partially blocked shipping through the strait and sent Brent crude above $120/barrel. US Oil Refinery Mismatch: Why America Pays $4.59/Gallon Despite Being the #1 Producer Bangladesh Fertiliser Crisis 2026: Gas Shortages Threaten Food Security for 170 Million