Rising vessel attacks and soaring costs have left thousands stranded at sea.
As a result, the Strait of Hormuz, one of the world’s most vital energy routes, is experiencing a near-total breakdown in shipping activity as the Middle East conflict intensifies.
The disruption began after U.S. and Israeli strikes on Iran on February 28, followed by retaliatory attacks that have severely restricted access to the waterway.
Under normal conditions, the strait carries around 20% of global oil and liquefied natural gas flows. Therefore, any sustained disruption has immediate global consequences.
Shipping Activity Falls Sharply
Consequently, maritime traffic through the strait has dropped dramatically.
According to Kpler, between March 1 and March 19, only 116 commodity carrier transits were recorded, compared with a typical daily average of around 120 vessels.
This marks a decline of approximately 95%.
Meanwhile, most of the limited movements were outbound shipments, indicating that inbound traffic into the Gulf has largely stalled.
Key Disruption Indicators
The scale of disruption across the region reflects both operational paralysis and rising risk.
- Around 20% of global oil and LNG normally passes through the strait
- Shipping traffic has dropped by approximately 95%
- At least 23 vessels have reported attacks or security incidents
- Around 250 oil tankers remain stranded in the Gulf
- Roughly 3,200 vessels are currently in the region
- An estimated 20,000 people are affected across maritime operations
This combination of reduced movement and rising congestion signals a significant bottleneck in global energy transport.
Rising Security Risks Intensify Pressure
The decline in shipping activity coincides with an increase in maritime security incidents.
Since early March, at least 23 commercial vessels, including multiple oil tankers, have been attacked or reported security issues across the Gulf and surrounding waters.
Additional incidents have been reported but remain unverified, adding to uncertainty for shipping operators.
The heightened risk environment has forced many companies to suspend or delay operations.
Human Impact Expands
The crisis is not limited to trade disruption. It is also affecting thousands of workers across the maritime sector.
At least eight seafarers or dock workers have been killed, while several others remain missing or injured.
An estimated 20,000 people, including crew members and port workers, are currently stranded or impacted as vessels await safe passage.
Costs Surge Across Supply Chains
The disruption has triggered a sharp increase in shipping and fuel costs.
Ship fuel prices have risen by approximately 87% since the conflict began.
At the same time, the cost of transporting crude oil has doubled to around $10 per barrel.
These increases are feeding into broader energy market volatility, raising concerns about inflation and supply chain stability.
Strategic Importance of Hormuz
The Strait of Hormuz remains a critical chokepoint for global energy flows.
Any prolonged disruption threatens oil and gas supply chains, particularly for countries heavily dependent on Gulf exports.
The current slowdown is not just a regional issue. It is a global economic risk with direct implications for energy prices, trade flows, and market stability.
Since March 1, at least 23 commercial vessels, including 11 oil tankers, have been attacked or reported incidents in the Gulf, the Strait of Hormuz, or the Gulf of Oman.
IANS
Source: Gulf News
