Iran’s parliament has backed a proposal to consider closing the Strait of Hormuz—an essential maritime route handling roughly 20% of global oil trade—and warned it may act if the U.S. intervenes further in support of Israel.

Flowing between Iran and Oman, the strait channels around 18–21 million barrels of oil per day—a critical artery for global energy supplies, including a significant share of LNG exports. While Iran can use naval mines, missiles, or fast boats to disrupt traffic, analysts warn that outright closure would severely backfire—crippling Iran’s own export revenues, triggering international pushback, and inviting military retaliation .

Economists caution that even a temporary shutdown could spike oil prices by $8–31 per barrel, possibly surpassing $100, and inflict ripple effects across global markets and inflation rates. Still, analysts believe Iran is simply using the threat as leverage—historically one of its preferred tactics—rather than planning an actual blockade.

While the strait remains open, tanker companies are exercising caution: some vessels have delayed transit and shipping firms are demanding naval escorts amid increased insurance costs. Observers agree that any move to disrupt traffic would mark a dangerous escalation—prompting naval involvement from the U.S., Europe, and Asian nations to keep global energy routes secure.