Iran Warns It Will "Burn All Ships" in Hormuz

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\r\n[Financial News] The Islamic Revolutionary Guard Corps (IRGC) issued an open warning on the 2nd (local time) that it will attack ships attempting to pass through the Strait of Hormuz. The statement came after the United States of America (U.S.) and Israel carried out airstrikes on the Islamic Republic of Iran and Tehran moved to close the strait, sharply heightening fears over global crude supply.
According to TASS Russian News Agency (TASS), Major General Ebrahim Jabbari, an adviser to the IRGC commander, told the semi-official Iranian Students' News Agency (ISNA), "We will burn all ships that try to pass through the Strait of Hormuz," adding, "We will not allow a single drop of oil to leave this region."
The IRGC has already begun measures to close the Strait of Hormuz following the attacks on the Islamic Republic of Iran by the U.S. and Israel. Observers see the latest remarks as going beyond a simple warning and signaling a concrete intention to impose a maritime blockade.
The Strait of Hormuz is a strategic chokepoint through which about 20% of the world’s seaborne crude oil passes. It is the key maritime route for oil and gas exported by Middle Eastern producers to Asia and Europe. Any disruption to shipping there is expected to inevitably trigger a surge in international oil prices and fuel supply instability. The energy security of major Asian oil importers such as the Republic of Korea (South Korea), Japan, and China is also likely to be directly affected.
The global shipping industry and oil markets are closely watching whether the Islamic Republic of Iran will act on its threats. If a full closure of the strait materializes, alternative routes are extremely limited, making it difficult to absorb the supply shock in the short term.
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#Iran #IRGC #StraitOfHormuz #OilSupply #CrudePrices
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km@fnnews.com Kim Kyung-min Reporter