Strait of Hormuz Crisis
The 2026 Oil Shock
US-Israel airstrikes on February 28, 2026 shook global oil markets, pushing Brent crude above $106/barrel and threatening 20% of the world's energy supply.
▸ 20% of global oil supply passes through the Strait of Hormuz — any disruption directly impacts fuel prices worldwide.
From Airstrike to Blockade
US-Israel Strikes on Iran
Joint US-Israel airstrikes targeted Iranian nuclear and military facilities, triggering the Strait of Hormuz crisis.
Iran Declares Blockade
Iran declared 'not one litre of oil' will pass the strait, deploying naval vessels and coastal missile batteries.
Oil Breaks $100 Barrier
Brent crude broke $100/barrel for the first time since 2022, surging over 30% within 72 hours.
US Seeks Coalition
The US administration began talks with NATO and Gulf allies to form a coalition to escort tankers through the strait.
California Gas Exceeds $5/gal
Gasoline prices in California exceeded $5 per gallon, raising widespread inflation concerns across the United States.
Global Supply Chains Under Strain
Brent crude up 40%, retail gasoline prices rose 25–35% in Western economies within two weeks.
Marine war-risk premiums skyrocketed, many carriers refused passage. Over 150 ships anchored waiting.
Food transport costs spiked, pushing food price inflation in oil-importing nations.
Global equities fell sharply; gold and the US dollar rose as safe-haven assets.
Aviation fuel costs surged, airlines announced additional fuel surcharges on international routes.
Brent Crude Price — Feb to Mar 2026
How the World Responded
Seeking international coalition to escort tankers, considering additional sanctions, pursuing diplomatic back-channels.
Declared 'not one litre of oil' through the strait, deployed naval vessels and shore-based missiles, warned all vessels.
Ramping up production to offset shortfall but also facing exposure risk to their own export routes.
Called for de-escalation, exploring alternative routes and coordinating strategic reserves to cushion the impact.
International Energy Agency called for emergency reserve releases; OPEC+ held emergency meeting to review output increases.
Marine war-risk premiums skyrocketed; Lloyd's of London and major insurers listed Hormuz as a war zone exclusion.
Previous Oil Crises in Context
OPEC Oil Embargo
The OPEC embargo quadrupled oil prices, causing severe gasoline shortages across the Western world.
Tanker War
The US deployed Operation Earnest Will to escort Kuwaiti oil tankers through Hormuz during the Iran-Iraq War.
Tanker Attacks
A series of attacks on oil tankers in the Gulf of Oman caused brief price spikes and heightened tensions.
Current Crisis
US-Israel strikes on Iran triggered the largest supply disruption since the 1970s, with tanker traffic down 70% and 150+ ships anchored and waiting.
Related: Strait of Hormuz Crisis and Oil Price Spike 2026.