Overview
- Iran still holds the Strait of Hormuz effectively closed, choking seaborne supply and lifting crude prices to about 50% above pre‑war levels.
- The U.S. Energy Information Administration estimates Gulf producers shut in 7.5 million barrels a day in March, rising to 9.1 million in April if the strait stays shut.
- Asian importers bear the brunt, with Pakistan, the Philippines and Sri Lanka shortening the work week and closing schools to cut fuel use.
- Governments lean on stockpiles and fuel switching, as Japan and South Korea release record reserves and several countries lift limits on coal plants to keep power on.
- Experts warn the disruption could lock in long‑term shifts, pushing buyers to diversify toward non‑Gulf suppliers such as Canada and to speed electrification to reduce import risk.