Iran has warned that it could block crude oil shipments from the Middle East if military attacks by the United States and Israel continue, escalating tensions in a conflict that has already unsettled global energy markets.
The country’s elite Islamic Revolutionary Guards Corps (IRGC) said Tuesday that it would prevent oil exports from the region if strikes against Iran persist, declaring that it would not allow “one litre of oil” to leave the Middle East under continued hostilities.
The threat has heightened international concern over the Strait of Hormuz, a strategic waterway through which roughly one-fifth of the world’s oil supply passes. Tankers have reportedly been unable to navigate the strait for more than a week, prompting some producers to halt operations as storage facilities near capacity.
U.S. President Donald Trump responded swiftly, warning that Washington would retaliate with overwhelming force if Iran disrupts oil shipments. “We will hit them so hard that it will not be possible for them or anybody else helping them to ever recover that section of the world,” he said at a news conference.
Despite the rising rhetoric, oil prices briefly fell, and global shares rallied after Trump suggested the conflict could end sooner than the four-week timeline he had initially projected, noting that U.S. forces had inflicted significant damage on Iran’s military.
Israel has said its goal is to overthrow Iran’s clerical leadership, while U.S. officials have focused on dismantling Tehran’s missile programme and nuclear capabilities. Trump, however, indicated that the conflict would only conclude once Iran has a government willing to cooperate with the United States.
Iranian officials rejected Trump’s claims, insisting Tehran will determine the war’s outcome. An IRGC spokesperson dismissed the U.S. president’s remarks as “nonsense,” according to state media.
Tensions further intensified after Mojtaba Khamenei was appointed Iran’s new supreme leader, a move seen as a sign of defiance during the conflict. Following the announcement, oil prices surged, briefly topping $119 per barrel, while global equities fell before rebounding on Trump’s comments predicting a quick resolution.
Trump later indicated in a conversation with Russian President Vladimir Putin that the U.S. would waive some oil-related sanctions to help ease supply shortages. Despite this, the standoff over Middle Eastern oil continues to pose significant risks to global energy markets.
Brent crude, the international benchmark, has risen past $100 per barrel—the first time since Russia’s 2022 invasion of Ukraine—reflecting fears of prolonged disruption to global oil supplies.
