Escalating tensions between the United States and Iran have renewed concerns in global markets, with immediate impacts on energy, logistics and supply chains. The US naval blockade targeting Iranian ports, which comes into force today, April 13, represents one of the most significant measures seen in the Gulf region in recent years and has a direct impact on trade flows linked to one of the world's main energy hubs. While this does not mean a complete closure of the Strait of Hormuz, the route through which about 20 percent of the world's oil supplies pass, the measure has a strong impact on market expectations, increasing risk premiums and increasing uncertainty about energy flows.
Energy prices rise: oil above $100 a barrel, pressure on industrial costs increases
The market reaction was immediate. Brent crude rose above $102 a barrel and WTI topped $104 a barrel, up around 6-7 percent in a matter of hours. For the steel industry, which is highly energy intensive, the return of higher energy prices is a critical factor. Rising oil and fuel prices directly affect production costs, especially at mills and refining activities, and also increase the costs of transporting raw materials and finished products. In this context, electricity and gas prices, which are already subject to volatility, are expected to come under further pressure, with knock-on effects on the competitiveness of steel producers, especially in Europe.
At the same time, instability in the Gulf region is undermining the regular flow of maritime trade. Restrictions and operational risks are reducing the number of transits through the Strait of Hormuz and forcing operators to use longer and more expensive alternative routes. Initial data indicates delivery delays of up to 20-25 days, creating challenges in logistics planning and inventory management. The uncertainty also affects the availability of ships and trade flows, which are key elements in the international trade of steel and raw materials. Another critical factor is rising shipping rates, which have risen significantly in recent weeks, according to market sources, tripling in some cases and further exacerbating overall costs across the supply chain.
For the global steel sector, tensions in the Strait of Hormuz are turning into concrete risks
