Mumbai, March 1: The ongoing conflict between the United States, Israel, and Iran has escalated tensions across the Gulf region, threatening the flow of crude oil from this vital area. Analysts reported on Sunday that non-Gulf oil supplies will not be able to compensate for the shortfall from Gulf nations.
Traders indicated that if the conflict continues, significant increases in crude oil prices are likely when the market opens on Monday. Although there have been no confirmed disruptions to shipping through the Strait of Hormuz, the risk of tankers being targeted has prompted major oil traders to suspend shipments through this critical route.
Approximately 20 million barrels of crude oil and its derivatives flow through the strait, which lies between Iran and Oman.
Shipping rates for tankers have already surged, with rates for very large crude carriers traveling from the Middle East to China tripling in 2026, indicating that vessels are hesitant to take risks.
Gulf countries supply nearly 20 percent of the world’s crude oil, and the extent of any supply reduction will depend on whether energy infrastructure is directly targeted and how quickly normal maritime operations can be restored.
So far, there have been no confirmed attacks on major oil and gas infrastructure amid the conflict between Iranian and U.S.-Israeli forces. However, reports of explosions in the United Arab Emirates, Bahrain, Qatar, and Kuwait have surfaced, along with sounds of blasts near Iran’s Kharg Island, a terminal that handles a significant portion of Tehran’s crude oil exports.
Analysts have referenced past events from the 1980s Iran-Iraq war, noting that even short-term conflicts can have a substantial impact on prices and supply.
The Islamic Revolutionary Guard Corps (IRGC) has announced a new wave of attacks targeting U.S. and Israeli military bases in the Middle East. These attacks are reportedly in retaliation for recent U.S.-Israeli strikes, which allegedly resulted in the death of Supreme Leader Ayatollah Ali Khamenei.
An official statement from the Iranian government declared, “This heinous crime will be avenged, and it will write a new chapter in the history of the Islamic world.”
My name is Narendra Jijhontiya. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including TECHNOLOGY, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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