Oil and gas exports from the Gulf face renewed disruption as fighting between the US and Iran intensifies. For both countries control of the Strait of Hormuz is key.
Over the past months, Iran has shown that it can control or at least disrupt the strait, says Guntram Wolff, a senior fellow at Bruegel, a think tank, and a professor of economics at the Free University in Brussels.
"Several months of bombing campaigns have not undone Iran's ability to control the Strait of Hormuz," said Wolff, leaving the US with the challenge of trying to get the upper hand.
This week, traffic in the strait has again nearly stopped as Iran attacked tankers and fired drones and missiles at military facilities in Bahrain, Kuwait and Jordan.
The US launched more strikes on Iran and restarted a naval blockade of its ports. It also revoked a sanctions waiver that let Iran openly sell its oil, which brought in much-needed money.
