UAE Oil Exports Plummet Through Strait of Hormuz Amid Regional Tensions

The UAE drastically reduced its reliance on the Strait of Hormuz for oil exports in July, with flows through the route plummeting by nearly 53% to 950,000 barrels per day (bpd).

This sharp decline followed the collapse of a ceasefire agreement between Washington and Tehran, which briefly reopened the strait before a dispute over who controlled it. The agreement unraveled on June 17.

The UAE's exports through the strait dropped significantly as shipments from Fujairah on the Gulf of Oman rose to meet the shortfall. Volumes from Fujairah accounted for 2.28 million bpd, up from 2.17 million in June, and made up about 66% of total UAE exports.

The decline in oil loadings from across the Gulf's Hormuz-facing exporters was severe, with combined monthly flow averaging 4 million bpd in July, down from a prewar baseline near 19-20 million bpd. Saudi Arabia saw volumes through the strait rise by 72% to 740,000 bpd, while Iraq's exports rose 56% to 750,000 bpd.