Iran’s Islamic Revolutionary Guard Corps (IRGC) has issued a warning to shut down additional export routes that benefit the United States and its allies, following the closure of the Strait of Hormuz and the enforcement of a US naval blockade on Iranian ports. The IRGC emphasized that regional energy exports would either be accessible to all parties or denied entirely.
Analysts indicate that Tehran might leverage its Houthi allies in Yemen to obstruct the Bab el-Mandeb strait, a critical maritime passage connecting the Red Sea to the Gulf of Aden. This strait is vital for Saudi oil exports and a significant portion of global shipping traffic. A senior Houthi official declared the group’s readiness to close the strait, warning that such an action could drive oil prices up to $200 per barrel if Saudi Arabia continues its military operations in Yemen.
This threat follows missile attacks by Houthi forces on Saudi Arabia, accusing the kingdom of bombing a Houthi-controlled airport and violating a four-year ceasefire. The Houthis have previously demonstrated their capacity to disrupt international trade by targeting Red Sea shipping lanes after the outbreak of the Gaza conflict in October 2023.
Meanwhile, the situation escalated after a seven-hour series of US military strikes aimed at Iranian assets near the Strait of Hormuz and coastal regions. The US military stated these operations were in retaliation for Iranian assaults on seven commercial vessels over the past week, resulting in nearly a dozen crew members being killed, missing, or injured.
The IRGC announced on Wednesday that the Strait of Hormuz would remain closed until what they described as the “end of America’s evils.” In retaliation for the US strikes, the IRGC claimed to have targeted command centers, logistics hubs, fuel depots, and military installations linked to the US Fifth Fleet in Bahrain. They also asserted destruction of a US logistics facility in Kuwait’s Mina Abdullah and an attack on a US airbase in Azraq, Jordan.
Jordanian air defense forces intercepted and destroyed three ballistic missiles entering their airspace from Iran. Concurrently, Kuwaiti state media reported a fire at a targeted location had been controlled, though it was unclear if this was the facility mentioned by the IRGC. These hostilities have shattered a fragile ceasefire established in June after months of intense fighting.
In a significant development, US President Donald Trump threatened to target Iranian power plants and bridges in the coming week if Tehran does not return to negotiations. Speaking on Fox News, Trump indicated that while energy infrastructure would be targeted last, the US would ultimately strike these sites if no agreement is reached.
Trump also withdrew a proposed 20% fee on shipping through the Strait of Hormuz, a plan that faced strong criticism from the United Nations shipping agency. Instead, he suggested pursuing investment agreements with Gulf states, though he did not provide further details.
Amid these escalating disruptions in the Strait of Hormuz, global oil prices climbed further on Wednesday. Brent and West Texas Intermediate crude contracts both advanced, continuing a rally that pushed prices to their highest levels since mid-June.
