The military actions of the US and Israel against Iran, as well as Tehran's retaliatory closure of the Strait of Hormuz, have caused a serious crisis in the global economy. The blockage of this vital corridor, through which about 20 percent of the world's oil supply passes, has caused energy prices to skyrocket. In particular, after QatarEnergy stopped producing liquefied gas, gas prices increased by 1.5 times, and the cost of a thousand cubic meters of gas in Europe exceeded 800 dollars for the first time in three years.
This situation has dealt a heavy blow to the economies of countries dependent on energy imports, such as Italy, Belgium, China, India, and South Korea. Panic is also observed in financial markets: the South Korean stock market has collapsed by 20 percent, and the Indian national currency has depreciated against the dollar. The S&P 500 index also showed a 2 percent decline last week.
The logistics sector is also in a difficult situation. Airlines are forced to bypass the airspace of Iran and Russia, which lengthens flight routes and increases costs. SEKO Logistics representative Brian Burke noted that planes are now forced to fly through Turkmenistan. In addition, the price of aviation fuel has risen by 72 percent, reaching a record level seen in 2022. Experts are concerned that if this geopolitical tension continues, disruptions in the global supply chain will deepen and inflation rates will rise.
Read “Zamin” on Telegram!
