New Delhi – Amid escalating tensions with Israel and the United States, Iran has hinted at the possible closure of the Strait of Hormuz — a critical global oil shipping route — raising concerns about its impact on global and Indian energy security.
According to a report by Bloomberg, Tehran signaled the potential shutdown after U.S. forces bombed three key Iranian nuclear sites, prompting Foreign Minister Seyed Abbas Araghchi to state, “A variety of options are available to Iran.”
The narrow strait, nestled between Iran and Gulf Arab states, is used to transport about a fifth of the world’s oil. A shutdown could disrupt not only global supply chains but also impact crude oil imports to India, some experts have warned.
Why This Matters for India
India sources approximately 40% of its crude oil from Middle Eastern nations like Iraq, Saudi Arabia, Kuwait, and the UAE — all of which export oil through the Strait of Hormuz.
According to estimates, about 2 million barrels per day (bpd) of India’s crude imports pass through this channel. While a disruption would affect supply from Iraq and Saudi Arabia, the overall impact on India may be moderate, experts suggest.
“India’s reliance on Russian oil has significantly increased. Those shipments use alternate routes such as the Suez Canal, the Cape of Good Hope, or the Pacific Ocean,” reported PTI.
Additionally, LNG (liquefied natural gas) imports from major suppliers like Qatar, Australia, Russia, and the United States are also unlikely to be disrupted, as they do not depend on the Strait of Hormuz.
Expert Views on Energy Security
Dr. Laxman Kumar Behera, Associate Professor at the Special Centre for National Security Studies, JNU, noted that:
“India’s imports from Iraq and Saudi Arabia could be impacted. But reliance on Russian oil and diversified LNG sourcing reduce vulnerability.”
A recent International Energy Agency (IEA) report reinforced the importance of the Strait, noting that 30% of global oil and one-third of the world’s LNG pass through it. Even a temporary closure, it warned, could trigger sharp oil price hikes and global economic instability.
Will Iran Actually Close the Strait?
Since the conflict with Israel began on June 13, Iranian officials — including Deputy Chief of Mission Mohammad Javad Hosseini — have floated the idea of shutting down the strait. However, analysts remain skeptical.
The strait is crucial not just for global exporters like Saudi Arabia and the UAE, but also for Iran itself. Over 75% of Iranian oil exports, particularly to China (which accounts for 47% of its seaborne crude), rely on this route.
Hence, any closure would not only risk severe global backlash and military escalation but also harm Iran’s own economy.
Conclusion
While Iran’s threat to close the Strait of Hormuz has stirred concerns, especially for major oil importers like India, the move remains largely symbolic. India’s diversified energy sourcing strategy may buffer it against the worst impacts, but any prolonged disruption in this critical corridor would still pose significant geopolitical and economic risks worldwide.