Iran Strait of Hormuz Closure Backed by Parliament: Oil Price Surge Feared Globally

🇮🇷 Iran Strait of Hormuz Closure: Why Lawmakers Are Pushing This Bold Move

Iran’s parliament recently backed a motion to close the Strait of Hormuz, a narrow but crucial waterway between Iran and Oman. Though the final decision now rests with Iran’s Supreme National Security Council, this development marks a dramatic escalation following US strikes on Iran’s nuclear sites.

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What Is the Iran Strait of Hormuz Closure All About?

The Iran Strait of Hormuz closure proposal empowers Tehran to cut off maritime traffic in retaliation if foreign powers, specifically the US, deepen involvement in the Israel–Iran conflict. Lawmaker Behnam Saeedi, from parliament’s security committee, flagged it as one of the tools to defend national interests, while Ali Yazdikhah highlighted it’s only a real possibility if Iran’s core interests are threatened.

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Why the Iran Strait of Hormuz Closure Would Rock Global Oil Markets

The strait carries nearly 20% of global seaborne oil, roughly 18–20 million barrels daily, serving as a lifeline for global energy supply. A real closure would almost certainly cause:

• A sharp spike in crude prices (WTI and Brent have already surged over 7%)
• Higher inflation globally, with consumer costs rising
• Disrupted shipping across Asia, Europe, and beyond

While some analysts predict oil prices may exceed $100–150 per barrel, others caution the world’s supply buffers and strategic reserves could dampen the shock.

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What Stands Between Plans and Actual Closure?

Although parliament approved the idea, the Supreme National Security Council has the actual authority. Reuters confirms the motion but notes it isn’t yet final. Analysts from Eurasia Group deem the move unlikely, especially while Iran’s own oil exports remain unaffected.

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Strategic Calculations Behind the Iran Strait of Hormuz Closure

Eurasia Group believes a closure would equate to declaring war on the region and the US, triggering a military backlash . They suggest Iran may instead opt for harassment tactics:

• Attacking tanker traffic with missiles/drones
• Mining the waterway (though risky environmentally and economically)
• Rerouting vessels via Oman’s coastlines

Iran has a well-documented anti-access/area-denial strategy (A2/AD), deploying missile boats, naval mines, and drones around the strait.

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Response from the Region & Global Markets

Amid rising tension, shipping companies are already taking precautionary measures:

• Vessels are re-routing closer to Omani water
• Maersk is assessing operations in the area
• Tanker rates and insurance costs have surged — some hull premiums jumped 60% for Hormuz transits

Meanwhile, global oil traders are preparing:

• Some recommend shorting oil while going long on certain equities.
• Governments, including the UK, warn of inflation risks from a possible oil-price surge

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Could This Be Iran Strait of Hormuz Closure in Name Only?

History shows Iran has threatened to seal the strait before but refrained, mindful of hitting its own economy and allies in Asia reuters.com+3marketwatch.com+3timesofindia.indiatimes.com+3. With the US Fifth Fleet deployed in the region and military alliances ready to counter, any move to officially close the strait would be met with severe consequences .

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What to Watch Next for the Iran Strait of Hormuz Closure

1. Security Council Decision: Will Iran’s top security body rubber-stamp the motion?
2. Shipping Alerts: More rerouting, insurance hikes, and vessel advisories expected.
3. Oil Market Reaction: Watch futures — further jumps could spark emergency economic measures.
4. Tactical Skirmishes: Expect possible missile/drone strikes on commercial vessels before any total closure.

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Final Take: A Powerful Warning, Not Yet a Reality

The Iran Strait of Hormuz Closure measure sends a bold geopolitical signal after US arm strikes. While it remains a powerful threat, analysts largely view it as leverage—not a prelude to full shutdown. Yet as law enforcement and commercial fleets brace, the situation remains volatile — and the global repercussions could be profound if Iran ever flips the switch.

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