Iran's Fujairah Port Attacked, International Oil Prices Surge Sharply.

Iran continues to attack the UAE’s Fujeirah Port, raising concerns over oil supply disruptions. The attack has triggered strong reactions in the international market, with global oil prices soaring sharply within a day.

Fujeirah Port is strategically located and considered an important alternative route to bypass disruptions in the Strait of Hormuz. The port has a daily crude oil processing capacity of 1 million barrels, and its strategic importance becomes even more critical when the Strait of Hormuz is effectively blocked. Reports indicate that the UAE is experiencing a vicious cycle of saturated storage facilities and reduced oil production.

Recently, the price of West Texas Intermediate (WTI) crude oil for April delivery on the New York Mercantile Exchange surged to around $96 per barrel, further fueling market concerns. Kevin Hassett, director of the White House National Economic Council, pointed out that Iran’s capabilities are limited and stated that oil tankers are gradually resuming passage through the strait.

Against this backdrop, financial institutions such as TD Securities and IG warn that the Strait of Hormuz could be completely blocked, and further Iranian attacks may worsen the situation. These risk factors are expected to continue driving up oil prices and increasing market volatility.

The future trajectory of tensions between Iran and the UAE remains uncertain, but such geopolitical developments are likely to continue impacting international oil prices and energy markets. If these tensions are not avoided or alleviated, this instability could persist for a long time.