Iran Oil Blockade Leverage Wanes as US Keeps Gulf Flow

Iran's leverage from its attempted Strait of Hormuz oil blockade is waning as U.S. naval escorts and Gulf producers maintain substantial crude flows, keeping global prices below $100 despite mounting economic strain inside Iran.

"Iran's trade has declined between 25% and 35% amid falling currency values, rising inflation, and gasoline shortages," said Iranian President Masoud Pezeshkian regarding the country's domestic economic pressures.

Strait of Hormuz Volumes and U.S. Naval Escorts

About 5 million barrels a day of crude, almost none of it Iranian, passed through the Strait of Hormuz on average during the latest 28-day period, according to data from TankerTrackers.com. A U.S. naval blockade has prevented Iran from shipping oil from the Persian Gulf since July, while Washington has helped Gulf Arab states move volumes through Hormuz despite ongoing missile and drone attacks.

An additional 2.5 million barrels a day moved through Gulf of Oman ports, including Fujairah in the United Arab Emirates. Together, these maritime routes represent more than 40% of the region's prewar oil flows, sustaining global energy supplies even as regional tensions persist.