Global oil supply in jeopardy? Iran parliament approves Strait of Hormuz closure after US strikes

Iran’s Supreme National Security Council is weighing a decision to close the Strait of Hormuz, a vital global energy chokepoint, in response to US military strikes on Iranian nuclear facilities. The move, if approved, would escalate tensions in the region and risk disrupting nearly 20% of the world’s oil and gas shipments.

Iranian state outlet Press TV reported on Sunday that the final decision rests with the country’s top security body, even as parliament has reportedly approved the measure.

“Closure of the Strait is on the agenda and will be done whenever necessary,” said Revolutionary Guards Commander and lawmaker Esmail Kosari, speaking to Iran’s Young Journalist Club.

Energy markets on edge

The prospect of a shutdown has rattled global energy markets, already jittery since Israel launched surprise airstrikes across Iran on June 13. The attacks, and subsequent US involvement, have triggered fears of disruptions to maritime oil traffic through the strait, which connects the Persian Gulf with the Gulf of Oman.

Brent crude prices have surged more than 10% since June 13, climbing above $77 a barrel amid rising geopolitical risk.

Flashback to the Tanker Wars

The current situation echoes the 1980s “Tanker Wars” during the Iran-Iraq conflict, when both sides attacked oil tankers in the Gulf. Iran targeted Saudi and Kuwaiti vessels — and even US Navy ships — in retaliation for perceived support of Iraq.

In response, the Reagan administration launched Operation Earnest Will in 1987, deploying the US Navy to escort oil tankers. That mission ended after a US warship mistakenly shot down Iran Air Flight 655 in 1988, killing 290 people.

More recently, tensions flared in 2023 when Iranian forces seized the Advantage Sweet crude tanker, chartered by Chevron, in the Gulf of Oman. The vessel was held for over a year before being released.

Maersk says ships continue to sail through Strait of Hormuz

The Danish shipping company says, however, it’s ready to re-evaluate the safety of its vessels moving through the Strait based on available information.

“We will continuously monitor the security risk to our specific vessels in the region and are ready to take operational actions as needed,” Maersk said in a statement.

New red lines after US strikes

While maritime activity in the Strait of Hormuz has not yet been significantly disrupted, President Donald Trump’s direct military engagement may shift Tehran’s strategy. The coordinated US-Israeli strikes on Iran’s Fordo, Natanz, and Isfahan nuclear facilities early Sunday were described by Washington as a decisive blow to Iran’s nuclear ambitions.

“We devastated the Iranian nuclear program,” US Defense Secretary Pete Hegseth said. “This operation was about neutralizing threats — not regime change.”

A global flashpoint

Any closure of the Strait of Hormuz would likely provoke a global response. The narrow waterway is essential for the energy security of major economies in Asia, Europe, and the US.

Western officials have urged restraint and called for a return to diplomacy, but the situation remains volatile.

(With Reuters inputs)