Hormuz Blocked for Half a Month: Middle East Daily Oil Exports Plunge 60%, Red Sea Route Struggles to Cope

On March 18, the latest calculation data showed that in the week ending March 15, due to regional conflicts causing disruptions in shipping and supply interruptions, the average daily oil exports from the Middle East dropped by about 61% compared to February. The Strait of Hormuz, which previously handled about one-fifth of the world’s oil shipments, has been effectively blockaded, forcing numerous exporters to cancel shipments and shut down oil field production, resulting in the most severe supply interruption in global history. Crude oil prices have surged to their highest level in nearly four years, with some fuel prices hitting all-time highs.

Currently, operating oil transportation portals include exports from Saudi Arabia’s Yanbu Red Sea port, Oman’s marine exports, and shipments from the Fujairah port in the UAE. However, loading operations at the UAE’s Fujairah port have been repeatedly interrupted in recent days due to drone attacks. Previous shipping data revealed that Saudi Arabia’s oil shipments through the Red Sea reached a record high in March, but still fell far short of compensating for the oil volumes transported via the Strait of Hormuz. According to LSEG data, in the first nine days of March, the average loading volume at Yanbu port on Saudi Arabia’s Red Sea coast was 2.2 million barrels per day, significantly higher than February’s 1.1 million barrels per day. In addition, LSEG also predicts that a total of 37 oil tankers will load cargo at Yanbu port in March, with 11 already having departed.