The Media Line: Saudi-Based Aramco Warns of ‘Catastrophic Consequences’ From Strait of Hormuz Disruption as France Plans Escort Missions 

Saudi-Based Aramco Warns of ‘Catastrophic Consequences’ From Strait of Hormuz Disruption as France Plans Escort Missions 

By The Media Line Staff  

Saudi Arabia’s Aramco warned that continued disruption of shipping through the Strait of Hormuz during the war with Iran could have severe consequences for global energy markets and the broader economy, Reuters reported.  

Speaking during a Tuesday earnings call, Aramco CEO Amin Nasser said the conflict threatens a key maritime corridor through which a large share of the world’s crude oil moves. Roughly 20% of global oil shipments normally pass through the strait, but the war has sharply reduced maritime traffic and pushed international oil prices higher.  

“There would be catastrophic consequences for the world’s oil markets, and the longer the disruption goes on, the more drastic the consequences for the global economy,” Nasser said.  

He added that global oil inventories are already at a five-year low, increasing the risk that prolonged instability around the strategic waterway could ripple across multiple industries.  

According to Nasser, the disruption extends beyond the energy sector and could affect shipping and insurance markets while also placing pressure on aviation, agriculture, automotive production, and other areas of the global economy.  

Meanwhile, France and several allied countries are preparing a naval operation intended to help restore commercial passage through the waterway. French President Emmanuel Macron said Monday during a visit to Cyprus that the planned mission would escort container ships and oil tankers as part of a “defensive” effort to gradually reopen the strait after what he described as the hottest phase of the conflict ends.  

Blocking the corridor could raise the cost of goods and services worldwide and would affect major importers of crude passing through the route, including China, India, and Japan.  

Iran has previously threatened to “set fire” to ships attempting to transit the waterway, although a limited amount of maritime traffic has continued despite the conflict.  

US President Donald Trump warned Tehran on Monday that any attempt to block oil shipments through the strait would trigger a much stronger American response.  

“If Iran does anything that stops the flow of Oil within the Strait of Hormuz, they will be hit by the United States of America TWENTY TIMES HARDER than they have been hit thus far,” Trump wrote in a social media post.  

Iran’s Islamic Revolutionary Guards Corps spokesperson responded that Tehran would not allow “one liter of oil” to leave the region if US and Israeli strikes continue.