[Iran Crisis] Saudi Aramco CEO: Continued blockade of the Strait of Hormuz could lead to catastrophic consequences for the global oil market

According to Reuters, Amin Nasser, CEO of Saudi Aramco, the Saudi state-owned oil company, stated during a media conference call on Tuesday (the 10th) that the longer the supply disruption caused by the blockade of the Strait of Hormuz persists, the more “disastrous” the potential consequences for the global oil market could be.

Amin Nasser said, “Although we have experienced supply disruptions in the past, this crisis is undoubtedly the biggest challenge faced by the region’s oil and natural gas industry to date.”

He also pointed out that under the current geopolitical crisis, global inventories have fallen to their lowest levels in five years, and the rate of inventory decline will accelerate in the future. Since spare crude oil production capacity is mainly concentrated in this region, restoring navigation through the Strait of Hormuz is crucial.

Supply Disruption Triggers Chain Reactions

He added that this disruption has not only severely impacted the shipping and insurance industries but also caused significant chain reactions in the aviation, agriculture, automotive, and other sectors. If this disruption continues, the impact on the global oil market will be extremely serious, and the consequences for the global economy will be even more severe.

The Iranian Revolutionary Guard warned that if the United States continues to launch attacks, it will not allow oil to be exported from the Middle East, “not even one liter of oil.” U.S. President Trump responded immediately, saying that if Iran blocks exports from this vital energy region, the U.S. will impose even harsher measures.

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