Kathmandu. The conflict between Iran and Israel has intensified. Israel attacked several Iranian bases as part of Operation Rising Lion. Several military commanders, including six scientists, have been killed in the attack so far.
Iran is also retaliating. It has fired hundreds of missiles at Israel as part of Operation True Promise 3.
Iran has declared a state of emergency following the Israeli attack. It has also closed its airspace. The price of crude oil has increased by 8 percent in a single day.
Experts speculate that this price could be further affected. The world is facing another tension amid growing fears of an Iran-Israel conflict. Iran can close the Strait of Hormuz. If it stops it, there could be a global crude oil crisis. Because it is the busiest oil route in the world and the closure of the route can disrupt the supply of crude oil. However, according to many defense analysts and energy economists, it is highly impossible for Iran to completely close the Strait of Hormuz.
According to experts, Iran will not risk closing the Strait of Hormuz. In their view, Tehran could increase rhetoric or surprise the ship. But closing the world’s busiest oil route would be economically self-harming.
Regarding the rising tensions between Israel and Iran, it has been speculated that fundamentalists have put forward the idea of blocking the Strait of Hormuz. It’s a narrow square point. From where 20 percent of global oil goes every day.
Iran exports most of its oil and imports important goods through it. Closing it will weaken its own economy and isolate key partners like China, which buy more than 75 percent of Iran’s crude.
The U.S. Navy’s 5th Fleet patrols the waterways with Britain and France. A complete blockade will increase the likelihood of a Western military response.
Iran has made similar threats in the past. But there has never been a blockade.
Global oil markets are reacting sharply, even without detention. Brent crude has risen 11 percent since the Israeli attack. If tensions rise, prices could cross $100-120 a barrel. The global NLG market, which relies on Qatar’s exports through the Strait of Hormuz, could be affected.
Israel-Iran tensions have led to a change of course and an increase in war risk insurance premiums. Some shipowners are trying to avoid the Gulf route to avoid Iranian retaliation or maritime tensions. – Agency
