Severe Economic Consequences of War with Iran in Global Markets
Energy prices surge, oil production halts, shipping costs soar, and global supply chains face disruption as war-driven instability spreads across markets.
West Asia | PUREWILAYAH.COM - The war by the United States and the Zionist regime against Iran has intensified concerns over the future of regional and global energy markets.
Only four days after the start of the U.S. and Israeli war against Iran, the negative consequences of escalating tensions at the level of West Asia and the world are gradually becoming apparent.
In addition to the significant increase in energy prices due to global insecurity over access to these resources, reports indicate changes in contracts, the suspension of oil and gas production processes, and the vulnerability of value chains in global markets.
Suspension of Oil Production at the World’s Fourth-Largest Oil Field in Southern Iraq
Simultaneously with the U.S. and Israeli war against Iran and Iran’s heavy strikes against host countries of U.S. military bases in the Persian Gulf, Iraq announced the suspension of oil production at the Rumaila oil field, the largest oil field in Basra in southern Iraq, due to escalating tensions in the Persian Gulf and the halt of traffic through the Strait of Hormuz.
The Rumaila oil field is the fourth-largest oil field in the world, producing 1.4 million barrels of oil per day. It is managed by the British company BP.
More Than 100 Percent Increase in Oil Tanker Shipping Rates from Saudi Arabia
Reuters, citing oil traders and merchants, reported that oil shipping rates from the port of Yanbu in Saudi Arabia have increased by more than 100 percent, reaching $28 million per tanker.
At the same time, an official at Iraqi ports told Al Jazeera that maritime shipping lines to Iraq have also risen by about 60 percent due to increased insurance costs.
Suspension of Jordan’s Gas Exports to Syria Following Iranian Attacks on Haifa Gas Fields
Jordan announced that due to the halt of gas exports from the Zionist regime to Jordan — following Iranian drone and missile strikes targeting gas platforms in Haifa in occupied Palestine — it has suspended gas deliveries to Syria.
18 Percent Decline in Global Air Transport Due to Crisis in West Asia
Ryan Petersen, an international economic expert in the field of value chains, stated in a report that as a result of the war in West Asia, 18 percent of global transport capacity was reduced over the past weekend.
He added: “When 18 percent of global air transport capacity disappears overnight, it is not just a logistical issue — it inherently carries rising inflationary pressures, as tighter supply chains, increased insurance costs, and longer delivery times affect global markets.”