How Would Europe Be Affected if the Strait of Hormuz Were Closed?

The Strait of Hormuz, approved for potential closure by Iran’s Parliament, is one of the most strategically vital maritime chokepoints in the world. Any blockade or disruption by Iran would pose serious risks for Europe. Here’s how:

📌 Threats to Energy Security

• Around 20% of global oil and a substantial share of LNG (liquefied natural gas) flow through the strait.

• Europe imports oil and LNG from Gulf countries like Saudi Arabia, Qatar, and the UAE, much of which passes through Hormuz.

• A closure would disrupt supply chains, drive global energy prices upward, and result in energy shortages, especially in countries heavily reliant on Middle Eastern fuel.

  
  

📌 Economic Impact

• A spike in oil prices would drive inflation, increasing energy and production costs across Europe.

• Key sectors like manufacturing, transportation, and agriculture would be especially vulnerable.

• Market volatility could shake European stock exchanges, potentially triggering a domino effect across the economy.

📌 Security and Military Escalation

• A blockade could provoke military confrontations involving U.S., EU naval forces, and Gulf allies, escalating into a regional war.

• European powers such as France and the UK, with naval presence in the region, could be drawn into conflict via NATO obligations or bilateral alliances.

📌 Disruptions to Shipping and Trade

• Beyond oil, the Strait is vital for global maritime trade.

• Any interruption could delay imports of raw materials, electronics, and consumer goods to Europe, strain supply chains, and increase insurance premiums for shipping.

• This would lead to higher costs for European businesses and consumers alike.

Conclusion:Even though Europe is not directly involved in the conflict, the closure of the Strait of Hormuz would severely affect its economy, energy supply, and security landscape, underscoring the global stakes of the ongoing crisis.

Source: Euronews