Amid rapidly escalating tensions in the Middle East, Iran has clarified that it has not closed the strategically crucial Strait of Hormuz, despite widespread speculation and reports suggesting otherwise. Iranian officials stated that there is currently no plan to shut the vital maritime passage, though the possibility has not been entirely ruled out if the conflict intensifies.
In a statement on Friday, Saeed Khatibzadeh, Iran’s Deputy Minister of Foreign Affairs, said the waterway remains open. “We have not yet closed the Strait of Hormuz. If we are going to close it, we are going to announce it. It has not been closed by us. We have no intention to do it until further notice,” he said.
The clarification comes amid a fast-moving regional crisis following a joint military attack by the United States and Israel on Iran that began on February 27. The strikes triggered a sharp escalation in hostilities across the region.
Iran has already responded with retaliatory strikes targeting US military installations in neighbouring countries, including bases in Qatar and Oman. Reports circulating earlier suggested that Tehran had blocked the Strait of Hormuz and warned vessels against entering the passage, even threatening to set ships on fire. However, Iranian authorities have now denied those claims.
The Strait of Hormuz is one of the world’s most critical energy chokepoints. The narrow waterway, approximately 55 kilometres wide at its narrowest point, lies between Iran and Oman and connects the Persian Gulf to the Arabian Sea.
It serves as a key route for global oil shipments, with about 13 million barrels of oil passing through the strait every day—roughly 31 per cent of global seaborne oil trade. Because of this, any disruption to the strait has immediate consequences for global energy markets.
Although Iran says the strait remains open, maritime activity in the region has already been severely affected. Reports indicate that overall tanker traffic has fallen by nearly 70 per cent amid the conflict, with 18 loaded and 37 unloaded tankers currently stranded in the Persian Gulf.
Global oil markets have responded sharply to the uncertainty surrounding the conflict. On March 2, Brent Crude surged to about USD 79 per barrel before easing slightly, still about eight per cent higher than the previous week. Meanwhile, West Texas Intermediate rose to around USD 71 per barrel, marking a six per cent increase.
These price spikes are already being reflected in rising fuel costs, particularly in North America. Gasoline prices in both Canada and the United States have begun to climb, though the increases have not yet matched the surge seen in crude oil markets.
A closure of the Strait of Hormuz would affect oil exports from several major producers, including Iraq, Kuwait, Saudi Arabia and the United Arab Emirates, in addition to Iran itself. For many of these nations, the strait is the primary route through which their oil reaches international markets.
Energy analysts warn that even a temporary disruption could push oil prices significantly higher and potentially trigger wider economic consequences. Historically, sharp increases in oil prices have often preceded global economic slowdowns. Major events such as the oil crises of the 1970s and early 1980s forced structural changes in global economies and reshaped energy policies worldwide.
With tensions continuing to escalate in the Middle East, markets and governments alike are closely watching developments around the Strait of Hormuz, aware that any move to block the passage could send shockwaves through the global economy.
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