Americas Emerge as Viable Oil Alternative Amid Iran War

The Iran war has created an unexpected boon for oil producers in the Americas. With Middle Eastern exports disrupted, the region has emerged as a viable alternative to capture lost market share.

Oil production in the Americas has increased significantly since the outbreak of the Iran war and closure of the Strait of Hormuz six months ago. Crude exports from Canada to Argentina have risen to an average of 11.7 million barrels per day (bpd) this year, up from 10.3 million bpd in 2025.

The U.S. leads the pack with exports averaging 4.4 million bpd this year, followed by Brazil at 2.5 million bpd. Asia has absorbed much of the additional crude from the Americas, with imports into the continent surging since the Iran war began and on track to reach a record 5.4 million bpd in August.

The shift in global energy trade patterns was made possible by the remarkable growth in oil and gas production across the Americas over the past decade. The expansion was driven first and foremost by the U.S. shale revolution, which transformed global oil markets and made the U.S. the world's largest producer in 2018.