Summary
The head of the International Energy Agency (IEA) warned that Europe has about six weeks of jet fuel left due to blocked oil supplies caused by the war near the Strait of Hormuz. This crisis could lead to flight cancellations, higher fuel and electricity prices, and slow global economic growth, especially impacting poorer countries.
Key Facts
- Europe has around six weeks of jet fuel remaining.
- Oil, gas, and other important supplies are blocked through the Strait of Hormuz because of the war in Iran.
- Nearly 20% of the world’s traded oil passes through the Strait of Hormuz during peaceful times.
- If the strait stays closed beyond May, some flights may be canceled due to lack of jet fuel.
- Higher fuel and electricity prices are expected worldwide.
- Poorer countries in Asia, Africa, and Latin America will suffer the most.
- Damage to more than 80 energy facilities in the region means restoring production will take months.
- The IEA warns against Iran’s toll system for ships passing through the strait, as it could set a problematic precedent.
