Iran makes threats, but it will not act. It will not mine the Strait of Hormuz or block it by bombing passing ships. This scenario would backfire and primarily harm China — the largest buyer of Gulf oil, which would lose 4 million barrels a day. Iran’s enemies — the Americans and Israelis — would be the ones to benefit because Beijing would adopt an angry stance toward Iran.

The Straits are the only sea route from the Persian Gulf to the open ocean, and about 20% of the world's oil transits the waterway.

Iran's threat to block the world's most vital oil transit point has raised fears of major global economic consequences.