West Asia conflict LIVE: Iran to target oil tankers in Kuwait and Bahrain in response to U.S. attack, IRGC says
Tit-for-tat strikes on oil tankers have intensified in and around the Strait of Hormuz, the Persian Gulf, and the Gulf of Oman, in a conflict that began in February 2026 following prior strikes on Iranian territory.
Reports indicate strikes on multiple oil tankers on both sides, along with a missile fired toward naval vessels patrolling near the Strait of Hormuz.
Statements from Iranian military officials have warned of further action against tankers and regional bases if attacks on Iranian oil tankers continue.
The escalation has pushed global crude benchmark prices (Brent crude) toward the $100-per-barrel mark, reflecting market concern over supply disruption through one of the world's most important oil transit chokepoints.
The Strait of Hormuz as a Global Energy Chokepoint
The Strait of Hormuz is a narrow sea passage between Iran and Oman connecting the Persian Gulf to the Gulf of Oman and the Arabian Sea, and is the world's most important oil transit chokepoint. It is the only sea route out of the Persian Gulf for the major oil-exporting states of the Gulf Cooperation Council (GCC) as well as Iran and Iraq.
Sustained attacks on tankers transiting near the Strait directly threaten the throughput of this chokepoint, which is why even the threat of disruption (not just actual closure) moves global oil prices.
India's Crude Oil Import Dependence and Diversification
India imports roughly 85-88% of its crude oil requirement, making energy security a standing strategic priority. A large share of this crude has historically transited the Strait of Hormuz.
Key Details
- India's crude imports transiting the Strait of Hormuz have been estimated at roughly 40-53% of total crude imports in recent years, alongside a majority of India's LNG and LPG imports.
- In response to recurring Gulf tensions, India has expanded diversification of crude sourcing (including from Russia, the United States, and West Africa) and has been reported to route a growing share — reportedly around 70% — of crude imports outside the Strait of Hormuz.
- India's Strategic Petroleum Reserves (SPR), managed by Indian Strategic Petroleum Reserves Limited (ISPRL) under the Ministry of Petroleum and Natural Gas, hold about 5.33 million metric tonnes of crude in underground rock caverns at Visakhapatnam, Mangaluru, and Padur — sufficient for roughly 9-10 days of national consumption. Additional commercial-cum-strategic capacity is being developed at Chandikhol (Odisha) and an expanded Padur facility under a public-private partnership model approved in 2021.
Continued attacks on tankers near the Strait raise freight/insurance costs and price risk for India's oil imports even where physical supply is diversified, underscoring why India maintains both alternate sourcing and strategic reserves as buffers.
Alternate Connectivity: Chabahar Port and the INSTC
India has invested in the Iranian port of Chabahar and the International North-South Transport Corridor (INSTC) partly as a hedge against overreliance on Gulf/Hormuz-dependent routes for regional trade and connectivity, particularly toward Afghanistan and Central Asia.
Key Details
- Chabahar (Shahid Beheshti terminal) is operated under a long-term agreement between India (via India Ports Global Limited) and Iran, providing India a route to Afghanistan and Central Asia that bypasses Pakistan.
- INSTC is a multimodal (ship/rail/road) transport corridor connecting India, Iran, Russia, Central Asia, and Europe, distinct from a purely maritime route through Hormuz.
- Chabahar and INSTC operations do not eliminate India's Hormuz-transiting oil trade but provide non-oil trade and connectivity resilience during regional instability.
A prolonged Hormuz-area conflict tests the strategic logic behind India's Chabahar and INSTC investments, since these routes remain unaffected by tanker warfare confined largely to Gulf shipping lanes.
- Strait of Hormuz: ~15 million barrels per day of global crude oil transited in 2025 (IEA estimate); roughly a fifth of global oil supply.
- India's overall crude oil import dependence: approximately 85-88%.
- Share of India's crude imports historically transiting Hormuz: estimated in the 40-53% range in recent years, with diversification efforts reportedly pushing routed-outside-Hormuz share toward ~70%.
- India's Strategic Petroleum Reserve capacity: 5.33 MMT across Visakhapatnam, Mangaluru, and Padur — about 9-10 days of national consumption.
- The present conflict phase began in February 2026, following prior strikes on Iranian territory.
- Brent crude prices have moved toward the $100/barrel mark amid the escalation.