Daniel Yergin warns Strait of Hormuz crisis is biggest energy disruption ever
Updated
Updated · Bloomberg · Apr 25
Daniel Yergin warns Strait of Hormuz crisis is biggest energy disruption ever
1 articles · Updated · Bloomberg · Apr 25
S&P Global Vice Chairman Daniel Yergin highlights that 80% of oil and 90% of LNG from the region go to Asia, making it the most affected.
Yergin notes the crisis impacts not only oil but also natural gas, fertilizer, helium, aluminum, and petrochemicals, with global supply chains under strain.
Despite the disruption, oil prices have not yet matched previous inflation-adjusted highs, but the scale and breadth of the crisis are unprecedented for global energy markets.
With 20% of global oil supply cut off, is this the final push that dethrones fossil fuels?
With fertilizer flows choked, could the Strait of Hormuz crisis trigger a global food catastrophe?
Beyond oil, this crisis reveals deep supply chain flaws. What is the plan B for global trade?
Is the 'biggest energy disruption ever' a temporary standoff or a permanent change to the global order?
A global helium shortage threatens our tech supply. Could this crisis cripple the semiconductor industry?
China is better positioned than its rivals. Is this crisis Beijing's opportunity to reshape Asian influence?
Global Energy Shock: 13 Million Barrels Per Day Lost as Strait of Hormuz Closes in April 2026
Overview
In April 2026, Iran's closure of the Strait of Hormuz, triggered by earlier US and Israeli military actions, caused a sharp drop in oil shipments and OPEC+ production, leading to global spikes in oil, gas, and fertilizer prices. Asia faced severe energy shortages, prompting rationing and a coal resurgence, while Europe experienced price volatility. The US responded with a naval blockade, escalating tensions and prompting Gulf states to invest in costly infrastructure to bypass the strait. The crisis disrupted critical supply chains, including helium and fertilizers, threatening industries and food security. Diplomatic efforts continue amid a shifting energy landscape marked by accelerated renewables and a push for greater supply resilience.