Gotrade News - The Strait of Hormuz blockade continues to choke one of the world's most critical energy corridors. Daily ship traffic has collapsed from over 130 vessels to just 8 since the blockade began.
Key Takeaways
- The Hormuz blockade has cut daily ship traffic from 130+ vessels to just 8, disrupting 20M barrels/day of oil flow
- Two Indonesian state oil tankers remain trapped near Saudi Arabia and Dubai since early March
- Iran says foreign vessels must negotiate passage directly with Iranian authorities, with no clear timeline
Scale of the Disruption
The Strait of Hormuz normally handles roughly 20 million barrels of oil per day. It also carries about one-fifth of the world's total LNG trade volume.
Two tankers owned by Indonesia's state oil company Pertamina are among the vessels caught in the gridlock. The Pertamina Pride sits near Al Jubail, Saudi Arabia, while the Gamsunoro is stuck near Dubai.
Both ships have been unable to transit since early March, highlighting the blockade's duration. For energy markets globally, the bottleneck keeps upward pressure on crude and LNG prices.
Diplomatic Efforts Stall
Iran's Ambassador Boroujerdi has stated that all foreign vessels must negotiate directly with Iranian authorities for passage. Six ships have already complied with US orders to divert back to Iranian ports.
Iran reportedly responded positively to Indonesia's diplomatic request for its tankers' release. However, no concrete timeline has been provided for when passage might resume.
The longer this blockade persists, the more it threatens global energy supply stability. Investors in energy, shipping, and emerging markets should watch Hormuz developments as a key risk catalyst.
