Iran attacks 3 ships in Hormuz amid US blockade

The confrontation between the United States and Iran has severely disrupted exports through the strait, a key passage that normally handles about 20 percent of the world’s traded oil, with no clear resolution in sight.

Iranian media reported that the country’s paramilitary Revolutionary Guard was taking the seized vessels to Iran, marking a further escalation. However, the White House said the seizures did not breach the terms of the ceasefire.

The ongoing tensions have already pushed up global fuel prices and increased the cost of food and other goods. The price of Brent crude, the global benchmark, has surged past $100 per barrel, rising around 35 percent compared to pre-conflict levels, although global stock markets have shown limited reaction so far.

Dan Jørgensen, the European Union’s energy commissioner, warned that the disruption could have long-term consequences for both consumers and businesses, comparing it to major energy crises over the past 50 years, reports UNB.

He said the situation is costing Europe an estimated 500 million euros, or about $600 million, each day.