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Iran
EconomyGlobal Economy

US-Iran strikes: global shipping braces for shock from Strait of Hormuz closure

Various reports indicate that authorities in Tehran have taken control of the vital energy transport route

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The Strait of Hormuz is the maritime gateway to the Persian Gulf and a vital energy shipping route. Photo: AFP
Carol Yangin Beijing
The US and Israeli attacks on Iran are expected to result in widespread disruptions to global shipping, with reports that Tehran has closed the Strait of Hormuz to traffic.

The strait is the gateway to the Persian Gulf and the world’s biggest energy choke point, handling roughly one-third of all seaborne crude oil.

German shipping giant Hapag-Lloyd said on Sunday it was suspending all transits through the strait.

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“Due to the conflict in the Middle East and the official closure of the Strait of Hormuz by relevant authorities … Hapag-Lloyd is suspending all vessel transits through the waterway until further notice,” the company said.

Reuters quoted an official from Aspides, the European Union’s naval mission, as saying on Saturday that Iran’s Revolutionary Guard had sent radio warnings to vessels in the area, declaring the strait closed to all traffic.

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However, the report also cited another anonymous official who said Tehran had yet to officially confirm such a blockade order.

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