Consequences of Blocking the Strait of Hormuz

[Italian Panic]

Some of the Major Oil Exporting Countries Concerned

Iraq
UAE
Saudi Arabia
Kuwait
Qatar
Iran

Economic Consequences in Blocking the Strait of Hormuz

With the move to conquer Venezuela's oil, which is very heavy and expensive to refine, the United States now needed to increase the cost per barrel. And what better solution than to bring war to Iran and make it block Hormuz?
If the Americans were interested in Middle Eastern oil, they would have already conquered Hormuz and the entire Arabian Sea by now. Instead, it suits them to have the strait blocked and the cost of barrels rising.

[aioc]

My country relies heavily on oil, and there are already announcements about price hikes that the Strait has a huge impact on so many countries' economies.
If Iran blocks that area, their biggest importer, China, Japan, and other countries will take action to reopen the strait. They cannot just sit there and wait for the war to end; countries will have to make a call for a ceasefire. This is not a simple war because it will involve many superpowers.
We have a lot of workers in that region, over 1 million, and it's really a big concern to get them all home if the conflicts escalate to full-blown war in that region.

[shinratensei_]

Price spiked for oil, it seems the market is expecting this to be disastrous, there are many small countries that only got small amount of oil reserves for their country to run.
I wonder how this will play out, 15% supply of oil blocked is not a small amount at all.

[free-bit.co.in]

Maybe we have to also take a look at this from this perspective, that what does Iran have to benefit from blocking this route, when they know that most of the affected countries will be the GOLF and they are not in war with any of them, i still don't see a reason why they should be able not to understand why other countries maintain allies with the US exempting them, if Iran do not see a back up from another country, they may end up in a more miserable condition than Gaza.

Simply put, the other Gulf states are allies, and US interests are tied to those countries. If Iran can influence those countries, it mean they have succeeded in damaging US interests
In addition, by causing damage to the Gulf states. That could lead these countries to pressure the US to end the war sooner.

The reason those countries maintain alliances with the US is because they want to become vassals of the US, while Iran does not want that. Not all countries are happy with what the US does and imposes. It is as simple as that.

[Fiatless]

Iran is already affected, their local currency even collapsed. Now, they are in war again with a powerful country, so I don't think they care about the Hormuz anymore. They just want the US and Israel to suffer, and anyone helping them. The US was very smart to take the Venezuelan oil first before striking here, because they knew the last time when King Faisal blocked the Strait of Hormuz, the USA had to make a deal with them, because they were suffering more.

You call the striking of an independent nation and stealing of its oil smartness. In a world where there is respect for international laws, this is criminality. Using another nation's resources as backup for your selfish gains. But the US doesn't care about the effects of this war on other country. They just increased fuel prices in my country and I am sure other commodities will follow suit.

Anyway they US representatives even said Israel is more important and even if these arab countries won't understand their mistake now, then I think they deserve it. Anyway, the rates of gas are already 50% higher, the petroleum prices are increasing too but not only Iran, or the US is going to sufferm but countries like Qatar, Kuwait, Bahrain, and the UAE are also going to suffer because they import food and many other things from other countries.

The tourism industry was giving these Gulf nations high returns. Now tourists will avoid Dubai and others because it's no longer safe. This war might have been designed to destroy the tourism sector of the Middle East since many people prefer staying there to the US.

[yixichloro2xx]

Blocking the strait of Harmouz has lots of economic impact. Like you said a lot of the global oil passes through it. Countries like Japan,China, India depends heavily on the strait of Harmouz. The apart from oil the middle East countries also import almost 50-80% of their foods and it passes through the strait of Harmouz. like my country, the Petrol and cooking gas price has increased significantly. This would affect transportation, electricity, and the cost of many goods around the world. I knew this was going to happen, because Iran will use it as a big leverage for them.

[viljy]

Well, the first to feel the consequences will be the population of countries that are heavily dependent on supplies. But eventually, the general increase in prices will be felt by the population of all countries, except for some (in some countries, prices simply always rise, but never decrease, and therefore the population is no longer surprised). Except for the price increase for everything in general (including food) as a consequence of the supply stoppage, there is also such a factor as simply a shortage of fuel for transport or a shortage of gas for heating. This could be very significant. Because not everything can be replaced with coal, coal is mainly used in power generation.

[btc78]

My country relies heavily on oil, and there are already announcements about price hikes that the Strait has a huge impact on so many countries' economies.
If Iran blocks that area, their biggest importer, China, Japan, and other countries will take action to reopen the strait. They cannot just sit there and wait for the war to end; countries will have to make a call for a ceasefire. This is not a simple war because it will involve many superpowers.

the countries with a lesser reserve of oil would be in trouble because they can’t afford to keep the war going for months eventually it needs to subside and the economic trades must continue if not many will suffer and it could blow up even more

[Faisal2202]

You call the striking of an independent nation and stealing of its oil smartness. In a world where there is respect for international laws, this is criminality. Using another nation's resources as backup for your selfish gains. But the US doesn't care about the effects of this war on other country. They just increased fuel prices in my country and I am sure other commodities will follow suit.

So that was not a smart move? Fiatless, many analysts saw this coming a mile away when they invaded Maduro. Do you know how they do it? Who sold Maduro? There is a story on that, Google it. Nobody did that with Khamenei. Nobody sold him. They took Maduro in but killed Khamenei. Do you know why? I don't know, but they are smart and clever; they must have their plans or ways to turn things in their favor. The people of Venezuela wanted Maduro to be gone, but people of Iran did not want that. Venezuela produced more oil than Saudi Arabia or Iran, afaik. That's why I call that act smart, and they are smart, we need to accept that fact.

The price spike is not only in your country, it is everywhere, but my country also said, they will adjust oil rates every week haha. Welcome to war 

The tourism industry was giving these Gulf nations high returns. Now tourists will avoid Dubai and others because it's no longer safe. This war might have been designed to destroy the tourism sector of the Middle East since many people prefer staying there to the US.

Tourism is nothing, their oil and gas industry is the main pillar of these nations, and not only for these nations but for other nations too, like you said, the impact is in your country too, it will be in a few more weeks.

[Hamza2424]

Now it is clear why control over Venezuelan oil was first established. Now, countries that need oil will be able to buy oil from Venezuela from Trump. Although, of course, the price will be high. What is more interesting is who some countries will now buy liquefied natural gas from. It seems that you can only buy it from the United States. And of course, it's not cheap either.

This Strait has been closed before and the US had to face a lot of problems then, this time they prepared for what's coming next. While the rest of the world will suffer, they won't or at least not. This closure of the Strait is not good for the countries that completely rely on it, like Kuwait, Qatar and the UAE. They completely depend on this; their link to other countries ends here.

They could also suffer, most of these countries are easily put in a miserable state by Iran but they did not do that because their aim from the start was to make US suffer and they successfully did that. Because so far the bases have been emptied, as the resources are saying but I doubt that.

Anyway, the prices are increasing and they will increase more. This is just a start.

[batang_bitcoin]

South Korea has been mentioned and it's true that it could trigger another war in that territory against the North Korea. I guess that I have seen some headlines that it's said that if Iran needs some help from their ally, North Korea. Kim is just waiting for some go signal and he's seen photographed lately that he's tested a missile to attack a naval ship. These guys are crazy and really want to get into the war since there are American bases in South Korea, they've been prepared for this situation to come.