Trump’s war in Iran exposes US’s shift from a global guardian to an arbiter of chaos | US-Israel war on Iran

Why in news

The closure of the Strait of Hormuz by Iran has forced several Asian countries, including India, to implement rationing measures due to severe energy market disruptions.

Background

The International Energy Agency reported that over 80% of oil and oil products transiting the Strait of Hormuz in 2025 were destined for Asia. The World Trade Organization predicts a slowdown in global merchandise trade growth this year due to high energy costs.

Facts for Prelims

• FactOver 80% of oil and oil products transiting the Strait of Hormuz in 2025 were destined for Asia.
• PlaceStrait of Hormuz: A critical maritime chokepoint for global oil transit.
• BodyInternational Energy Agency (IEA): Reported on the impact of the strait's closure on energy markets.
• BodyWorld Trade Organization (WTO): Predicted a slowdown in global merchandise trade growth due to high energy costs.
• FactEuropean economies are expected to experience a slowdown due to surging natural gas prices.

For Mains

Q. Analyze the geopolitical and economic implications of maritime chokepoints on global energy security and trade stability.

Dimensions to cover in your answer

• Supply chain vulnerability: High dependence on the Strait of Hormuz for Asian energy security
• Trade-Energy nexus: Correlation between surging natural gas prices and global merchandise trade contraction
• Regional economic disparity: Differential resilience of US markets versus European economies to energy shocks

Keywords: Energy Security · Maritime Chokepoints · Trade Disruptions · Geopolitical Risk · Supply Chain Resilience

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