Iranian Oil Exports Plummet Under US Blockade

US Treasury Secretary Scott Bessent has revealed that no Iranian crude cargoes have successfully crossed the Strait of Hormuz to China since the US reinstated its blockade. The move has left oil stranded aboard vessels and cut into Tehran's export revenues, with storage capacity finite.

Bessent pointed out that crude is piling up on ships trapped inside the strait, while Iran is unable to replenish oil inventories already positioned for sale abroad. This has resulted in a sharp decline in Iranian crude exports, as shown in a chart accompanying Bessent's post.

The chart illustrates the simultaneous pressure on oil revenues and Iran's currency, with the number of rials needed to buy one US dollar rising sharply after the blockade was reinstated.