Global refined product buffers deplete fast amid Iran war disruptions
Updated
Updated · Business Insider · May 5
Global refined product buffers deplete fast amid Iran war disruptions
9 articles · Updated · Business Insider · May 5
Goldman estimates commercial refined-product stocks have fallen to about 45 days of demand from 50, while total global oil stocks remain near 101 days.
Jet fuel, naphtha and LPG are tightening, with Fujairah naphtha inventories down 72% and northwest Europe's ARA hub down 37% since late February.
Asia outside China and parts of Europe are most exposed; European jet fuel stocks could drop below the IEA's 23-day threshold by June as Brent trades near $113.
How will the global fuel crisis permanently alter the cost of travel and everyday goods?
Is this crippling fuel shortage the shock needed to force a global shift to sustainable energy?
With the world's energy artery blocked, what will it take to avert a global recession?
Global Energy Shock: Strait of Hormuz Blockade Halts 20% of Oil, Drives Jet Fuel Prices Above $1,500/ton
Overview
In late April 2026, President Trump ordered a full naval blockade of the Strait of Hormuz, halting nearly all tanker traffic and cutting off 20% of the world's crude oil and refined fuel supplies. This caused crude oil prices to surge and triggered a severe jet fuel crisis, especially in Europe, where refinery closures and low stockpiles worsened shortages. The refined fuel squeeze forced airlines to reduce flights and raise fares, while rising energy costs increased food production expenses globally. The blockade also intensified geopolitical tensions, with Iran leveraging control of the strait and the U.S. responding with sanctions and naval protection efforts. This crisis exposed deep vulnerabilities in global energy supply chains and sparked urgent debates on energy security and the future transition to renewables.