Weaponizing the Strait of Hormuz is an act of economic terrorism with global impact far beyond energy markets. Twenty-one miles wide. Twenty million barrels a day. Nearly a fifth of the world’s oil and gas. Over a third of the world’s fertilizer. Almost a quarter of the world’s petrochemicals and significant amounts of industrial metals. In short, much of the oxygen of the global economy runs through a single throat. Yet, Iran believes that choking it is an acceptable strategy.
When Hormuz is squeezed, the pressure is immediately felt around the world. In just three weeks, the price of oil has risen by 50%. This is raising the cost of living for those who can least afford it and slowing economic growth everywhere. From factories, to farms, to families around the world, the human cost is mounting by the day.
So let me be absolutely clear. Weaponizing the Strait of Hormuz is not an act of aggression against one nation. It is economic terrorism against every nation. And no country should be allowed to hold Hormuz hostage, not now, not ever. And while we appreciate all efforts to stabilize markets and reduce prices, this is not a supply issue. It is a security issue, and it has only one durable answer, keeping the Strait open. We cannot trade our way out of this crisis.
At ADNOC, we took hits that no civilian enterprise, let alone one focused on delivering energy to the world, should ever have to deal with. We are deploying extraordinary measures to keep our people safe and to make sure, as much as possible, every customer and every stakeholder get what they need. We will continue to defend our nation and our way of life. In fact, this experience has only reinforced our model of pragmatic progress, rooted in realism not ideology, steady in its course, practical in its approach and relentlessly focused on results.