Trump Targets Kharg Island in Bid to Disrupt Iran's Energy Trade

US President Donald Trump has expressed his desire to eventually seize control of Kharg Island, which is the export hub for one of the world's largest oil producers. The island, located in the northern end of the Gulf, is responsible for exporting 90% of Iran's crude oil. According to Reuters, the US military has previously carried out strikes on military targets on Kharg, but these did not impact oil infrastructure.

The US blockade of Iranian oil exports has already had a significant impact on Iran's energy sector, with May's crude and condensate exports plummeting to six-year lows. In May, Iran pumped 2 million barrels per day of crude oil, down from 3 million bpd in April, according to Reuters.

The US sanctions have also targeted Chinese private refiners, which are the main buyers of Iranian oil. China has said it does not recognize unilateral sanctions against its trade partners, but its purchases of Iranian crude have declined. Iran's energy sector is heavily reliant on exports, with 94% of its natural gas being consumed domestically due to technical constraints and sanctions.