Saudi Arabia Leads Charge in Bypassing Strait of Hormuz

Months of blockages and uncertainty around the Strait of Hormuz have pushed energy exporters to look for ways to bypass the key shipping lane. Iranian officials insisted the waterway would remain closed unless the United States complied with a June framework agreement and offered compensation to Tehran.

However, US President Donald Trump said on Monday that the US Navy already controls the Strait of Hormuz.

The narrow waterway between Iran and Oman is one of the world's most critical oil shipping routes. Saudi Arabia has demonstrated its ability to redirect substantial volumes away from the Strait of Hormuz by sending its crude through the East-West Pipeline to the Red Sea port of Yanbu, keeping up shipments to global markets.

The pipeline was not merely an emergency backup but also an important tool for keeping Saudi oil flowing during a Hormuz closure. Over 61% of lost volume on the Persian Gulf side was replaced by additional exports through the Red Sea in April and May.