Iran will temporarily close part of the Strait of Hormuz

Iran has announced a temporary closure of parts of the Strait of Hormuz for several hours to conduct military drills, according to Iranian state media. The move comes as the United States begins talks with Tehran in Geneva, adding to heightened geopolitical tensions in the region.

Authorities said navigation through certain sections of the strategic waterway would be restricted during the exercise. The Strait of Hormuz is one of the world’s busiest shipping corridors and a vital artery for global energy supplies, with a substantial portion of international oil and gas shipments passing through it daily.

Industry experts caution that even short-term disruptions in the strait can unsettle global markets and force vessels to alter routes.

Jakob Larsen, chief safety and security officer at BIMCO, said there is no viable alternative route to the Strait of Hormuz for large volumes of maritime energy trade. Speaking to The National this week, he noted that regional instability has already affected shipping patterns.

Larsen highlighted a significant drop in vessel traffic through the Red Sea and the Bab al-Mandeb following attacks by Yemen’s Houthi group, underscoring the broader impact of security concerns on global maritime routes.

Market observers are closely monitoring developments, as any prolonged disruption in the Strait of Hormuz could have far-reaching implications for energy prices and international trade.