Latest news with #FifthFleet
Mint
14-06-2025
- Business
- Mint
Strait of Hormuz: Will Tehran shut the vital oil artery of the world?
As tensions escalate following Israeli strikes on Iran, fears rise that Tehran could choke the Strait of Hormuz. However, patterns in history indicate that while there might be temporary disruption in maritime traffic, Iran might refrain from choking the Strait of Hormuz, as it will pinch its friends more than its enemies. Mint explains why the Strait of Hormuz is significant geopolitically, and economically and what it means for India and Iran-US talks. Why is the Strait of Hormuz significant geopolitically and economically? The Strait of Hormuz is significant for its strategic location. It lies between Oman and Iran, linking the sea passage from the countries on the Gulf (Iraq, Kuwait, Saudi Arabia, Bahrain, Qatar and the United Arab Emirates) with the Arabian Sea and beyond. The strait is only 33 km wide at its narrowest point. According to available statistics, it sees roughly 20 million barrels per day of oil, and oil products shipments, and accounts for nearly one-fifth of global oil shipments. Further, one-third of the world's liquified natural gas LNG passes through the route. The maritime sea lanes, as the critical outlet for Gulf countries, are watched by the US Navy's Fifth Fleet based in Manama, Bahrain. The Strait of Hormuz is the vital oil artery for the world, and any disruptions, or even temporary closure, will send global oil shocks across the world. Also Read: India concerned about crude oil supply disruptions in Strait of Hormuz Will Tehran, or can Tehran, actually shut the Strait of Hormuz? With the Israeli air strikes on its military and nuclear establishments, Tehran has threatened to shut the Strait of Hormuz. But will it do so? Or is Iran using Hormuz as bargaining chip that leverages the fears of global oil shock and oil vulnerability of its friends, and enemies alike? While there could be some disruption- Iran might actually refrain from a full-scale blockade. There are three significant reasons why Iran might not actually do so, even while signalling that it might do so rhetorically. First, it will hurt Iran's friend, China, the world second-largest economy, and Iran's largest trading partner. China, is number one importer of oil, accounting for nearly three quarter of its oil export. So China, will not like to see any disruption in its maritime oil shipments, and might actually use its economic leverage with Iran to prevent Iran from closure of the narrow lane. Second, it will rupture Iran's relationship with Oman (which owns the southern half of the strait) and the Gulf Cooperation Council (GCC States). With Oman, careful crafting of a relationship has resulted in greater dependency for Iran on wide-ranging issues. Further, Oman has been a strong advocate of freedom of navigation in the sea passage. On the other hand, while there has been a history of difficult relationships between GCC states, in the recent past there has been a détente of sorts, and Iran risks a fallout if it was to close the Strait of Hormuz. Third, domestically this might not work for the interest of the regime, as any economic hits or closure of its oil exporting terminal, will see a surge in prices, and fuel popular discontent, which might impact both regime stability, and reformist tendencies for President Masoud Pezeshkian. Also Read: Javier Blas: An Israel-Iran war may not rattle the oil market Where does this leave US-Iran talk? The US is giving clear indications that it will attend Sunday's talks with Iran in Oman with a focus on limiting Iran's ability to build a nuclear bomb- a move that Iran has vehemently resisted. While the US claims it has no role or remains unaware of Israel's strikes on Tehran, the timing of the strikes raises a pertinent question. This comes just before the crucial 15 June talks between the US and Iran in Oman. While the US and Trump deny any role, it remains doubtful that Netanyahu and Israel would act without a green signal from the US. So, it seems the attacks serve a dual purpose, for the US, it pushes Tehran to re-engage in talks with the US that it has put on the slow burner in the past few weeks. For Israel, a tacit US support in any case works, given it sees Iran, and its nuclear programme as an existential threat. Further, Netanyahu, would anyway want to see the collapse of the deal between US and Iran, and has for the longest time opposed it. However, despite strategic denials by the US, the killing of Iranian nuclear scientists, and the reported wounding of one of its negotiators many actually convince a anyways belligerent to Iran, to walk down the path towards a nuclear weapon to build its own nuclear deterrence. Will China rein in Iran? In the recent past, China has strategically drawn in Iran into the Belt and Road Initiative, which Tehran joined in 2019. China has been working to build new connectivity opportunities, for instance, railway projects for Iran that serve two significant aims: first, it provides opportunities for bringing in Central Asian countries and Iran into the connectivity matrix. And second, it helps counter US hegemony, and can offset the US sanctions that are imposed time and again. In the moment of the current crisis, if Hormuz is choked, China will be hit, given it's the largest exporter of Iranian Oil. So China, might actually reign in Iran, given its impending economic interest, and disruption in global oil supply chain, will impede its own economic interest first and foremost. Also Read | Israel's war on Iran to hit Indian workforce What will this mean for India? For India, over two-thirds of its oil imports and nearly half of its liquefied natural gas (LNG) imports transit through the Strait of Hormuz. This surely puts India in a tight spot, given that any disruption in the global supply chain will hit India, particularly in the LNG sector—given that it imports a major chunk of its LNG from Qatar and UAE. According to available reports, January-November 2024, India imported 9.82 million tonnes of LNG from Qatar, which accounted for 38.8 per cent of India's overall LNG imports. So a closure of Strait of Hormuz through which a chunk of LNG exported by Qatar and UAE passes, will hit countries like India. Further, in the recent past, India has strengthened strategic ties with Israel, particularly in the sectors of defence, intelligence, and technology. So for India, it is tightrope walk, given the need to do balancing act between Israel, and Iran. Further in terms of India's connectivity interest. both Chabahar port and IMEC corridor anyways stand in a freeze mode, given the ever growing tensions between Israel, and Iran. Shweta Singh is associate professor, Department of International Relations, Faculty of International Studies, South Asian University
The National
13-06-2025
- Business
- The National
US embassy in Bahrain operating as normal despite Donald Trump's evacuation order
The US embassy in Bahrain is operating as normal despite orders from Washington to evacuate non-essential diplomatic staff based in the Middle East, an official at the mission told The National on Thursday, as tension rises over Iran's nuclear programme. US President Donald Trump said on Wednesday that US personnel were being moved out of the region because 'it could be a dangerous place'. The US would not allow Iran to have a nuclear weapon, he added. It comes ahead of a sixth round of talks between Washington and Tehran in an attempt to reach a nuclear deal. Mr Trump has threatened to bomb the country if Iran refuses to reach an agreement. Staff from US embassies in Kuwait and Bahrain were reportedly on standby to be moved. However, an embassy spokesman in Manama told The National on Thursday that operations in Bahrain were normal. 'The US embassy in Manama has not changed its staffing posture and remains fully operational,' he said. Bahrain, home to the US navy's Fifth Fleet, hosts about 9,000 US troops. The US also has a military presence in Iraq, Kuwait, Qatar, Syria and the UAE. In Israel, the US embassy in Jerusalem said it was restricting staff movements. "Due to the increased regional tensions, US government employees and their family members are restricted from travel outside the greater Tel Aviv [area] ... Jerusalem and Be'er Sheva area until further notice," a statement read. Travel between those locations, to Tel Aviv's airport or on the motorway through the occupied West Bank to the Jordanian border, would be permitted, the embassy added. Reports of the potential US evacuation pushed up oil prices by more than four per cent before they eased on Thursday. 'We've given notice to move out, and we'll see what happens,' Mr Trump had said on Wednesday evening. Iran 'can't have a nuclear weapon, very simple', he added. 'We're not going to allow that.' The State Department updated its worldwide travel advisory to reflect the latest US position. 'On June 11, the Department of State ordered the departure of non-emergency US government personnel due to heightened regional tensions,' the advisory said. It also advised American citizens against travelling to Iraq due to 'serious threats'. An Iraqi military spokesman, Sabah Al Numan, said on Thursday the evacuation of some US embassy personnel is a 'regulatory precautionary measure related to them'. Iraq's Prime Minister Mohammed Shia Al Sudani warned any escalation would not serve the talks between Iran and the US, stressing the need for a measured approach to resolve differences. 'Iraq supports finding a fair and balanced approach that leads to positive outcomes,' Mr Al Sudani said in a statement issued by his office. Hours after Mr Trump's announcement, Oman 's Foreign Minister Badr Albusaidi said his country will host the sixth round of US-Iran nuclear talks on Sunday. Tehran and Washington have held five rounds of talks since April to thrash out a new nuclear deal to replace a 2015 accord that Mr Trump abandoned during his first term in 2018. In recent days, US officials have repeatedly demanded that Iran completely cease uranium enrichment, a request firmly rejected by Tehran. Iranian Defence Minister Aziz Nasirzadeh warned Washington on Wednesday that Tehran would hit US regional bases if drawn into a war. Britain's maritime agency advised vessels to exercise caution while travelling through the Gulf, the Gulf of Oman and the Strait of Hormuz, which all border Iran. On Thursday, Iran's military began carrying out drills, earlier than planned, to focus on "enemy movements". "These exercises are planned and executed with changes to the annual calendar of the armed forces, and a focus on enemy movements," the Mehr news agency quoted Maj Gen Mohammed Bagheri as saying.
The National
12-06-2025
- Business
- The National
US embassy in Bahrain operating as normal despite Trump's evacuation order
The US embassy in Bahrain is operating as normal despite orders from Washington to evacuate non-essential diplomatic staff based in the Middle East, an official at the mission told The National on Thursday, as tension rises over Iran's nuclear programme. US President Donald Trump said on Wednesday that US personnel were being moved out of the region because 'it could be a dangerous place'. The US would not allow Iran to have a nuclear weapon, he added. It comes ahead of a sixth round of talks between Washington and Tehran in an attempt to reach a nuclear deal. Mr Trump has threatened to bomb the country if Iran refuses to reach an agreement. Staff from US embassies in Kuwait and Bahrain were reportedly on standby to be moved. However, an embassy spokesman in Manama told The National on Thursday that operations in Bahrain were normal. 'The US embassy in Manama has not changed its staffing posture and remains fully operational,' he said. Bahrain, home of the US navy's Fifth Fleet, hosts about 9,000 US troops. The US also has a military presence in Iraq, Kuwait, Qatar, Syria and the UAE. 'We've given notice to move out, and we'll see what happens,' Mr Trump said on Wednesday evening. Iran 'can't have a nuclear weapon, very simple', he added. 'We're not going to allow that.' Reports of the potential evacuation pushed up oil prices by more than four per cent before they eased on Thursday. The State Department updated its worldwide travel advisory to reflect its latest position. 'On June 11, the Department of State ordered the departure of non-emergency US government personnel due to heightened regional tensions,' the advisory said. It also advised American citizens against travelling to Iraq due to 'serious threats'. Hours after Mr Trump's announcement, Oman 's Foreign Minister Badr Albusaidi said the country will host the sixth round of US-Iran nuclear talks on Sunday. Tehran and Washington have held five rounds of talks since April to thrash out a new nuclear deal to replace a 2015 accord that Mr Trump abandoned during his first term in 2018. In recent days, US officials have repeatedly demanded that Iran completely cease uranium enrichment, a request firmly rejected by Tehran. On Wednesday, Iranian Defence Minister Aziz Nasirzadeh warned Washington that Tehran would hit US regional bases if drawn into a war. Britain's maritime agency advised vessels to exercise caution while travelling through the Gulf, the Gulf of Oman and the Strait of Hormuz, which all border Iran.
Yahoo
11-06-2025
- Politics
- Yahoo
USS Oscar Austin crew accepts combat award for Red Sea deployment
The crew of the destroyer Oscar Austin received military decorations for providing combat support to U.S. naval forces in the Red Sea against Houthi rebels, according to a Navy release. Sailors and other personnel aboard the vessel were awarded Unit Combat Action Ribbons after completing Austin's first forward-deployed Naval Forces-Europe patrol in the U.S. Sixth Fleet and Fifth Fleet, which operate out of Europe and Africa, and the Middle East, respectively. 'I'm honored to have assumed command of Oscar Austin during her first patrol as a forward deployed warship,' said Oscar Austin Cmdr. David Nicolas. 'Having served previously as the ship's executive officer, I feel immense pride in witnessing the growth and development of the crew in their preparation for and completion of Patrol One.' The vessel briefly visited the Mediterranean before joining the Harry S. Truman Carrier Strike Group as it battled missile and drone attacks from Yemen's Houthi rebels — an Iran-backed terrorist group — over several months. President Donald Trump's administration began conducting large-scale bombings against Houthi sites in Yemen on March 15, a shelling that ended in May after the U.S. claimed to have hit more than 800 targets. US strikes dozens of Houthi sites in Yemen as broader campaign begins Oscar Austin left its home base of Naval Station Rota, Spain on Dec. 11, 2024, to join the Republic of Cyprus National Guard and conduct signaling and maneuvering exercises alongside the Cyprus patrol vessel Commodore Andreas Ioannides. In April 2025, the Oscar Austin jointed Fifth Fleet operations, offering air and missile defense reinforcements to the Harry S. Truman Carrier Strike Group and serving alongside the Arleigh Burke-class guided-missile destroyers Jason Dunham and Stout, as well as the Ticonderoga-class guided-missile cruiser Gettysburg. Austin's efforts to defend the strike group while under fire from airborne threats notched the vessel's personnel Unit Combat Action Ribbons, which sailors proudly donned upon their return to Spain on June 10. The award is given to service members who participated in surface combat. Capt. Alexander Mamikonian, commodore of Destroyer Squadron 60, presented the crew with their ribbons. 'It was a pleasure watching them perform on patrol, but we're glad they're back home in Rota reunited with their loved ones,' Mamikonian said.
Business Recorder
23-05-2025
- Business
- Business Recorder
Russia and Bahrain in advanced talks over LNG supply deal
LONDON: Russia is in advanced talks with Bahrain over a three-year liquefied natural gas (LNG) agreement under which Moscow would supply the Gulf kingdom with 1.5 million metric tons of the fuel, according to three sources close to the matter. The prospective deal would be the first of its kind between the countries and continues the expansion of Russia's reach in global energy markets and LNG competition with the United States. Russia, the world's fourth-largest LNG producer behind the United States, Qatar and Australia, is striving to enter the top three global LNG exporters and plans to produce 100 million tons per annum (mtpa) of the super-chilled gas in the medium term. Home to the U.S. Navy's Fifth Fleet, Bahrain is seeking to increase LNG imports to meet a gas shortage amid peak summer energy demand for air-conditioning. Last month the kingdom received its first LNG cargo in six years. Russian Deputy Prime Minister Alexander Novak met Bahrain's Minister of Oil and Environment, Mohamed bin Mubarak bin Daina, this week to discuss the purchase of 1.5 million tons, or 20 LNG cargoes, per year for three years, the sources said. Russia's LNG exports down 4.6% y/y in January-April, data shows 'Talks are at an advanced stage and the deal is expected to be concluded soon,' one of the sources said. Volumes are expected to come from Russia's Yamal LNG plant, in which Russia's largest LNG producer, Novatek, holds a majority stake. Novatek and Bahrain's government communications office did not respond immediately to requests for comment.
