Iran Oil Exports Choke Under US Naval Blockade

Iran's oil exports remain severely constrained due to a US naval blockade that has been in place for almost two months. The blockade, which began in late July, has had a significant impact on Iran's economy and global crude markets.

Satellite images from the European Union's Sentinel orbiters have not captured any supertankers loading at Kharg Island, Iran's main oil export terminal, for at least two weeks. According to tanker-tracking data compiled by Bloomberg, exports were barely a fraction of pre-war levels in August.

The price premium on available cargoes in Asia is surging as traders report Iranian flows drying up. This development has deepened concerns about global crude markets, which are already facing tight supply due to ongoing conflicts and production cuts elsewhere in the world.