The single most important story for GCC investors right now.
Since the U.S.-Israeli strikes on Iran on February 28, 2026, tanker traffic through the Strait of Hormuz has effectively dropped to zero — disrupting roughly 20% of global oil supply and directly threatening the export revenues of every Gulf producer.
Saudi Arabia, Kuwait, Iraq, and the UAE have been forced to cut output as onshore storage fills up.
Kuwait has declared force majeure on its delivery contracts and reduced production to domestic-only levels.
Saudi Arabia has diverted oil via the East-West Pipeline to Yanbu on the Red Sea, moving approximately 5 million barrels per day through that alternative route.
The IEA has launched its largest-ever emergency reserve release of 400 million barrels.
