๐ฅWhat Happens to Global Shipping If Hormuz Shuts Down?
๐One chokepoint. 20% of oil. 200+ container lanes at risk.
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Greetings, Maritime Mavericks!
Tensions in the Middle East have escalated sharply after Israelโs strikes on Iran.
The Strait of Hormuz โ a key artery for both oil and container flows โ is now under threat.
Over 20% of global oil and nearly 200 weekly container services pass through this chokepoint.
The route sees 3,000+ ship transits monthly, including tankers, LNG carriers, and boxships.
While a full closure is unlikely, even limited disruption could destabilize trade routes.
Shipping lines are already adjusting course as war risk premiums and freight rates edge upward.
So, what happens if the Strait really shuts down? Letโs break it down ๐
๐ The Strait of Hormuz โ Small, but Mighty
๐ The Domino Effect โ What Would Break?
๐ก If Hormuz Closes: Whatโs Next?
๐ Big Picture
๐ The Strait of Hormuz โ Small, but Mighty
Handles 20.9M barrels/day of oil (2023, EIA)
Hosts 187 weekly container services via Jebel Ali & Abu Dhabi
Supports container flows to/from Saudi Arabia, Qatar, Kuwait, Bahrain, Iraq
Just 2โ3% of global container volume, yet critical for Gulf logistics
Now a flashpoint โ with Qatar holding LNG vessels outside the strait as a precaution