Abu dhabi: Dr. Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology, ADNOC Managing Director and Group CEO, affirmed that the situation affecting navigation in the Strait of Hormuz - which is only 33 kilometers wide - is not a limited regional issue, but one that impacts global economic stability as a whole.
According to Emirates News Agency, Dr. Al Jaber explained that 'Iranian interventions in this vital waterway represent unacceptable economic pressure that the international community cannot ignore.' He highlighted that Asian economies were the first to feel the impact, as evidenced by reduced working hours, fuel consumption rationalisation, fewer flights, and restrictions on energy use. The repercussions, he noted, are now extending westward to Europe, with rising food and energy prices further intensifying inflationary pressures on consumers.
Dr. Al Jaber stressed that disruptions in the Strait of Hormuz affect more than just oil supplies; they extend to the daily lives of billions of people worldwide, influencing the cost of food, airline tickets, energy bills, and medicine prices. He pointed out that around 20% of global energy flows pass through this strait, making it a critical factor in determining fuel prices, transportation costs, and the continuity of industrial supply chains. Approximately 50% of global sulfur supplies, essential for pharmaceuticals and fertilizers, and about 30% of Liquefied Petroleum Gas (LPG), crucial for everyday household use, also transit through it.
He noted that when supplies flow smoothly through the Strait of Hormuz, economic activity accelerates and markets grow, but when disrupted, everyone pays the price. Dr. Al Jaber emphasised the responsibility of the international community to take decisive collective action to ensure freedom of navigation and safeguard global economic stability. He underscored the importance of adhering to UN Security Council Resolution 2817 to guarantee secure passage through the Strait of Hormuz.