What You Need to Know
• Iran has significantly reduced commercial traffic through the Strait of Hormuz, averaging only four ships daily.
• Estimated transit volume through the strait fell from 3.5 million to about 143,000 metric tonnes per day.
• In 2025, nearly 20 million barrels of crude oil passed through Hormuz daily, affecting global oil trade.
Iran has leveraged its control over the Strait of Hormuz as an economic weapon amid tensions with the United States and Israel. According to IMF PortWatch, during the week ending August 2, only about four ships per day navigated the strait, a stark decline from approximately 90 ships during the same week in 2025. The estimated transit volume plummeted by about 96 percent, from 3.5 million metric tonnes to roughly 143,000 metric tonnes per day. This disruption has persisted since February 28, with vessel traffic and tonnage remaining significantly lower than the previous year. Iran’s strategic position allows it to exert considerable influence over a vital corridor for global energy trade, particularly affecting Asian markets, where a substantial portion of crude oil and liquefied natural gas is transported.
Why It Matters
The Strait of Hormuz is a crucial maritime chokepoint through which a significant portion of the world’s oil and gas trade passes. In 2025, approximately 20 million barrels of crude oil and petroleum products crossed the strait daily, accounting for about one-quarter of global seaborne oil trade. The ongoing disruptions not only impact shipping and insurance costs but also have broader implications for global energy security and economic stability. Iran’s ability to control this vital route underscores the geopolitical tensions in the region and the reliance of major economies, particularly in Asia, on this critical passage.
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