Hormuz Chaos: Global Crude Flows Disrupted by Strait Tensions
The global crude oil and refined product flows have been drastically altered since early 2026 due to several key events. The Strait of Hormuz, a vital waterway for international trade, has seen significant disruptions in recent months.
According to RBN Energy's analysis, the strait's closure has stranded large volumes of Persian Gulf crude oil and refined products bound for Asia, forcing refiners in countries such as South Korea and India to reduce production and curb exports.
The situation remains uncertain, with tensions between the US and Iran leading to periodic closures of the Strait. As of late July, vessel traffic was sparse, with only 24 tanker transits recorded on July 8, compared to a typical 130-135 daily crossings before the conflict.