Strait of Hormuz Disruption Sparks Widespread Trade Decline

The Strait of Hormuz disruption has exposed the vulnerability of global trade to a single maritime chokepoint, with early data showing sharp falls in exports of energy, fertilizers, and industrial products.

According to an analysis by the International Trade Centre (ITC), a multilateral agency that works with the World Trade Organisation (WTO) and UN trade and development body UNCTAD, the disruption has affected 12 strategically important energy, fertilizer, and industrial products for which Hormuz-dependent economies are key global suppliers.

The analysis found that combined merchandise exports across all products from these economies declined by 21% in value between April 2025 and April 2026. In terms of physical quantities, export volumes fell by 54%, with liquified natural gas recording the steepest contraction at a staggering 95%.

The largest absolute losses were in energy products such as crude petroleum oil exports, which fell by 28 million tonnes, followed by refined petroleum oils and liquefied natural gas which declined by 7.3 million tonnes and 5.5 million tonnes respectively.