An Iranian Revolutionary Guard general has announced renewed targeted attacks on tankers in the Strait of Hormuz in a bid to disrupt the commodity market and push global oil prices up to $200. Iran Troops would “burn every ship” that tried to pass through the strait – a bottleneck for global freight traffic – threatened General Sardar Jabbari on the Telegram online service.
“We will also attack oil pipelines and not allow even a drop of oil to leave the region,” Jabbari added. “Oil prices will reach $200 in the coming days.”
It is the most explicit statement yet on the status of the strait. On Saturday, the Iranian Revolutionary Guard announced that The route is now closed to international shipping traffic. Numerous shipping companies and
Cruise ships then suspended their trips.
A Honduran-flagged tanker was already engulfed in flames in the strait after a drone attack on Monday, Iranian media reported, citing the Revolutionary Guard.
Shipping companies hold crisis meetings
According to the Association of German Shipowners (VDR), the Strait of Hormuz is currently not physically blocked. But the situation is worrying. Crisis meetings were ongoing in many member companies.
The escalating situation is affecting the global raw materials markets. Oil and gas prices rose significantly. The price for Brent oil has now climbed to more than 80 US dollars per barrel (159 liters), reaching its highest level since July 2024. On Monday it was Oil price for the WTI variety at the close of trading in the USA at 71.23 US dollars per barrel and for the North Sea Brent variety at 77.74 US dollars per barrel.
In the USA, the average gasoline price has risen to three US dollars per gallon (around 0.68 euros per liter) for the first time since November. In view of the war against Iran Experts expect a further increase to up to $3.25 this week.
Economics Grimm warns of energy shock in Europe
The economist Veronika Grimm has also warned of a new energy price shock for Germany because of the war in the Middle East. “Another energy shock would put a strain on an economy that is still recovering from past price jumps,” Grimm told dem Editorial Network Germany. “A prolonged escalation or even a disruption of central transport routes could also cause new supply chain problems.” For Europe, this means “rising energy costs, growing inflation risks and additional investment uncertainty.”
Numerous analysts believed that an oil price of over $100 was possible if the Strait of Hormuz remained effectively closed. The most drastic forecast currently comes from analysts at market analysis firm Bernstein Research. They raised their oil price expectations from $65 to $80 a barrel on Monday. In the worst case scenario of an ongoing conflict, an oil price of up to 150 US dollars is possible.
The European Union is already preparing for possible emergencies. An energy crisis team will be set up with the member states, said the President of the EU Commission
Ursula von der Leyen after a special meeting in Brussels. The crisis committee is supposed to plan reactions to rapidly rising oil, fuel and gas prices.
The Strait of Hormuz connects the Persian Gulf with the Gulf of Oman, the Arabian Sea and the Indian Ocean. About 20 million barrels of crude oil and petroleum products move through the Strait of Hormuz every day, accounting for up to 30 percent of the world’s oil traded by sea. About 20 percent of global liquefied natural gas (LNG) trade occurs via shipping, with the majority coming from Qatar.