Asian oil importers monitor Persian Gulf tensions

Asian oil buyers and traders are closely monitoring the situation around Iran, fearing possible supply disruptions. The Strait of Hormuz handles 90% of all oil shipments from the region to Asia. Overall, Asia accounts for more than 80% of Middle Eastern oil purchases. If shipments through this strait stop or become difficult, the market may face a sharp shortage of raw materials.

China is the world's largest oil consumer. Approximately 14% of all its oil comes from Iran. However, the actual volumes may be higher since some shipments are processed as cargoes from other countries such Malaysia and Oman to bypass American restrictions. A halt in supplies from Iran could create serious problems for Chinese industry. According to Bloomberg experts, if supplies from Iran are halved or stopped, China will have almost no alternatives to compensate for them.

Russia, another fuel exporter, is also experiencing difficulties in the current situation. The country has increased oil supplies to Asia in recent years. However, its tankers are forced to choose between risks in the Red Sea and a lengthy detour around Africa. This increases delivery time and transportation costs.