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بسم الله الرحمن الرحيم

Closing the Strait of Hormuz and Its Global Repercussions
(Translated)
By: Ustadh Hassan Hamdan

Firstly: Location and Geographical Importance:

The Strait of Hormuz is the only maritime outlet connecting the Arabian Gulf states to the open ocean and, from there, to the rest of the world. Ships departing from vital ports such as Basra in Iraq, export terminals in Kuwait, Ras Tanura and Jubail ports in Saudi Arabia, and export facilities in the UAE, Qatar, and Iran must pass through this obligatory waterway, before reaching the Gulf of Oman and then the Indian Ocean.

The strait is not wide by international maritime standards, measuring approximately 21 nautical miles (about 33 kilometers / 21 regular miles) at its narrowest point between the Iranian coast and the Omani Musandam Peninsula. However, the actual shipping lane used by commercial vessels is much narrower, a crucial factor when considering the potential for threatening, or closing it.

To prevent collisions between the giant ships that dominate this route, maritime authorities have established a system to regulate navigation. Under this arrangement, ships heading to the Gulf pass through a dedicated entry channel, approximately two nautical miles wide, while departing ships use a parallel channel of the same width. A two-nautical-mile buffer zone separates the movement of ships traveling in both directions.

Consequently, the world’s largest ships move slowly within the confined waters of the territorial waters of both Iran and Oman. Giant tankers carrying millions of barrels of oil may need several kilometers to change course, and their ability to maneuver quickly is extremely limited.

Secondly: The Global Energy Artery (The Language of Numbers)

International energy agencies estimate that “in 2024, approximately 20 million barrels per day of crude oil, condensates, and petroleum products passed through the Strait, equivalent to about one-fifth of global oil consumption and more than a quarter of seaborne oil trade.” In addition to crude oil, vast quantities of refined petroleum products such as diesel, gasoline, and heavy fuel oil pass through the Strait of Hormuz. Gulf refineries export these fuels to markets in Asia, Africa, and Europe, reinforcing the strait's role as a vital artery for global energy distribution.

As for liquefied natural gas (LNG), Qatar plays a pivotal role, possessing the world’s largest gas field. In 2025, approximately 110 billion cubic meters of LNG passed through the Strait of Hormuz, representing nearly 20% of global LNG trade. Since the gas is transported by specialized tankers, any disruption would directly impact supply chains, making the Strait of Hormuz the most important maritime energy gateway in the modern world.

Thirdly: Can the Strait of Hormuz be closed?

In June 2025, Iran threatened to close the strait, but the issue is not simply a political decision; it is governed by complex considerations:

Iran’s economic dependence: Iran’s economy is organically linked to the energy sector, with oil revenues representing approximately 85% of its total income, and most of its export terminals located in the Gulf. Therefore, the strait is also a lifeline for Iran, making a closure decision economic suicide. However, Iran might view it as an existential issue that transcends financial calculations.

Practical complexity: Closing the strait is theoretically easy but extremely complex in practice. Such a disruption would cause a shock to global markets and a sharp increase in shipping and living costs.

The monetary dilemma: Central banks worldwide would face the risk of stagflation, as inflation would rise sharply, forcing them to raise interest rates, which would hinder growth and lead to a deep recession.

Fourthly: Logistical repercussions and global impact.

Iran’s aim in threatening this is to transform its own crisis into a global one to pressure the United States. The repercussions include:

Changed routes: Ships will be forced to circumnavigate the entire Arabian Peninsula, increasing fuel consumption and travel thousands of nautical miles, and delaying deliveries by weeks.

Industrial paralysis: Delays in the arrival of raw materials will lead to a global slowdown in manufacturing and shortages of goods.

Port isolation: Gulf ports will be completely cut off from maritime trade, with insurance companies fleeing, operating costs soaring, and millions of workers being laid off.

Fifthly: Those Affected

Contrary to what some are promoting, including Trump’s statements that America no longer needs Gulf oil, the United States will be among the biggest losers through:

Loss of international prestige

Increased internal divisions and a split within the Western bloc

Higher domestic energy prices due to their link to global prices, which will raise American manufacturing costs

Asian countries, China, India, Japan, and South Korea, are the most vulnerable, as 84% ​​of oil shipments and 83% of gas shipments passing through the Strait are destined for Asian markets.

For Europe, the situation is catastrophic, as it is already suffering from the repercussions of the Ukrainian war and the disruption of Russian gas supplies. A research brief of March 2026, entitled, “When the Strait Closes: Trade Dependencies and Shipping Disruption Scenarios for the Strait of Hormuz,” conducted by the Supply Chain Intelligence Institute Austria in collaboration with research institutions in the Complexity Science Hub Vienna and Delft University of Technology (TU Delft), stated, “The shipping model reveals an important finding: while short disruptions of two weeks or less would likely have limited economic consequences, disruptions extending beyond four weeks generate disproportionately larger effects as cascading schedule delays accumulate across the global shipping network.”

Predictively, in 23 June 2025, the European Center for Counterterrorism and Intelligence Studies published an article entitled, “Iran is considering closing the Strait of Hormuz, what would that mean for Europe?” stated, “Blocking the Strait was one of four Iranian responses to the conflict including terrorist acts on mainland Europe which security expert Claude Moniquet cited in an interview with Euronews. It would be “a disaster for Europe”, the former French intelligence office said. Here are some of the reasons why... Threats to energy security... Economic shock... Security & military escalation... Shipping and trade disruptions.”

In conclusion, the current war has demonstrated to the entire world the urgent need for a new world order, after the flaws of the current system and the corruption of its institutions and states have been exposed. There is no people more deserving than the Islamic Ummah to lead this transformation with the divinely revealed system of Islam, which brings people out of the narrowness of greed and material avarice, into the justice of Islam and the vastness of its mercy.

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