WHY THE STRAIT OF HORMUZ MATTERS SO MUCH: The Strait of Hormuz is a narrow 21 mile wide passage connecting the Persian Gulf to the open ocean. The Persian Gulf itself is bordered by eight countries: Iran, Iraq, Kuwait, Saudi Arabia, Bahrain, Qatar, the UAE, and Oman. For Iraq, Kuwait, Bahrain, and Qatar, this corridor is essentially their only direct access to global sea routes. And there’s another key factor: All eight of these countries are major energy exporters. In fact, the Strait of Hormuz carries roughly 20% of the world’s crude oil and LNG shipments. That means when the Strait is disrupted, global energy supply is immediately affected. Saudi Arabia and the UAE do have pipelines that bypass the Strait but those routes can only handle a small fraction of normal export volumes. That’s why the entire world is watching this Strait.