Key Points

Former diplomats warn Iran's potential closure of the Strait of Hormuz could severely impact global oil supplies. PM Modi expressed India's concerns during a phone call with Iran's newly elected President Masoud Pezeshkian. The strategic waterway handles 20% of the world's oil shipments, making it critical for energy markets. Experts say escalating US-Iran tensions following nuclear site bombings could trigger wider economic consequences.

Key Points: Iran Strait of Hormuz Closure Threatens Global Oil Supply

  • Iran's Parliament approved motion to close key oil route
  • US bombing of nuclear sites escalates tensions
  • 20% of global oil flows through Hormuz
  • Modi expressed concern in call with Iran President
2 min read

Any decision to close Strait of Hormuz will impact global oil supply, say experts

Experts warn Iran's potential Strait of Hormuz shutdown could disrupt 20% of global oil trade amid Middle East tensions.

"PM Modi has very diplomatically said that India is upset with the escalation - KP Fabian"

New Delhi, June 24

Amid rising tensions in the Middle East due to continued military action by Israel and Iran, experts have said that any closure of the Strait of Hormuz will hit global oil trade.

Former diplomat KP Fabian said India has expressed concern at the recent escalations and that conveyed that it is on side of peace and humanity. The United States entered the war on Sunday and bombed Iran nuclear sites.

Fabian referred to Prime Minister Narendra Modi receiving a telephone call from Iran President Masoud Pezeshkian on Sunday. President Pezeshkian briefed PM in detail and shared his perspective on the current situation in the region, especially the ongoing conflict between Iran and Israel. PM Modi expressed India's deep concern at the recent escalations.

"PM Modi has very diplomatically said that India is upset with the escalation, meaning American attack on Iran's nuclear sites. For good diplomatic reasons, the PM didn't want to name America, nor did he want to name Israel for constantly bombing. But it is clear that India is very much concerned, and India has good reasons to be concerned about," Fabian said.

Answering a query, Fabian said that any closure of Strait of Hormuz will affect crude oil trade and will have negative impact on global economy.

Former Ambassador Anil Trigunayat said the situation in the Middle East is becoming dangerous and referred to the United States entering the war and bombing Iran's nuclear sites.

He said PM Modi, in his conversation with Iran President, thanked him for the continued support being extended for safe return and repatriation of the Indian community.

He said any move by Iran to block the Strait of Hormuz will have an adverse impact on global trade.

"This will affect the supply of oil and other goods traded from the Middle East to the other parts of the world," he said.

The Strait of Hormuz is one of the world's important shipping chokepoints connecting the oil-rich Persian Gulf to the rest of the world. Around 20 per cent of global production flows through the waterway. Iran controls its northern side, according to CNN.

It said that Iran's Parliament has approved a motion to close the Strait of Hormuz, though the final decision lies with the country's Supreme National Security Council.

- ANI

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Reader Comments

R
Rajesh K.
This is very concerning for India's energy security. We import over 80% of our oil needs and any disruption in Hormuz will spike prices. Hope diplomacy prevails 🤞 PM Modi is handling it well by maintaining balanced relations with all sides.
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Priya M.
Why is America always bombing other countries? First Iraq, now Iran. We should strengthen ties with Russia and other oil suppliers as backup. Our government must protect Indian interests first - petrol prices are already too high!
A
Amit S.
Smart move by PM Modi to talk with Iran President. We need to maintain good relations with Gulf countries - millions of Indians work there and send remittances. Hope the situation de-escalates soon. Jai Hind!
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Sunita R.
This is why we need to speed up renewable energy projects. Can't keep depending on unstable regions for oil. Government should invest more in solar and electric vehicles. #GreenIndia
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Vikram J.
While I support India's neutral stance, we should be more vocal against attacks on nuclear sites. What if someone bombs our nuclear facilities tomorrow? International law should apply equally to all nations.
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Neha P.
The real victims are common people - both in Middle East and here when petrol prices rise. Hope our government has contingency plans. Maybe time to revive the Iran oil imports through rupee payments? 🤔

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