Oil and shipping face disruption as Iran war closes key Strait

The war involving Iran has led to the near-closure of the Strait of Hormuz, a critical waterway for global oil shipments. This has disrupted jet fuel supplies and caused South Korea to lock in large reserves of oil and naphtha to shield itself from the risks.

In response to the shipping dangers, Iran has proposed a plan for vessels to exit the strait via the Omani side to avoid attack. Meanwhile, the conflict is putting heavy pressure on the trade balances of countries that import oil and food.