The head of the International Energy Agency (IEA), Fatih Birol, expects a difficult month of April for the energy markets and the global economy given the continued tense situation in the Iran war. While deliveries from the region arrived in March that were “loaded long before the crisis began,” Birol said after the spring meeting of the International Monetary Fund (IMF) and the World Bank that “nothing was loaded” in April. This is likely to make the situation even worse, he said.
According to Birol, the world faces a major challenge in terms of energy security. “No country is immune to this problem,” he said. “The longer the disruption lasts, the more serious the problem becomes,” he added, referring to the Strait of Hormuz. The central trade route through which around a fifth of the world’s oil and liquid gas transport passes, has been effectively blocked since the beginning of the war in Iran. After failed negotiations with… Iran US President Donald Trump also announced one Blockade of Iranian ports in the Strait of Hormuz, which, according to the US, came into force on Monday afternoon.
The head of the French energy company TotalEnergies, Patrick Pouyanné, said at the meeting, Opening the Strait of Hormuz, even with a toll as planned by Iran, would be preferable to closing the trade route. “Reopening and free movement through the Strait of Hormuz, even if you have to pay someone to do it, is fundamental to the freedom of markets and to global markets,” he said. He also warned of “serious supply problems” if the war and blockade lasted longer than three months, especially for aviation fuel and diesel.
The Prices for energy sources such as gas and oil have recently risen sharply againafter the Negotiations to end the war between the USA and Iran had failed and Trump had announced his blockade. With it Experts also expect rising food pricesas shortages of fertilizers are also expected.