The Strait of Hormuz has long been one of the most critical chokepoints in global trade. Around 20 million barrels of oil per day, or roughly 25% of global seaborne oil trade, passed through the narrow waterway in 2025.
Recent disruptions due to the US-Israel-Iran war have exposed how fragile this system is. In response, countries in the Gulf and beyond are rapidly rethinking supply chains, investing in alternative routes, and reshaping global trade flows.
Infrastructure Shifts Create New Trade Pathways
Gulf states are accelerating efforts to bypass Hormuz through pipelines and new export routes. Saudi Arabia and the United Arab Emirates are leading this shift. Saudi Arabia’s East-West pipeline now allows crude to reach the Red Sea, while the UAE’s pipeline connects inland oil fields to the port of Fujairah, outside the Strait.
Oman is also emerging as a strategic player in this transition. It is expanding the port of Duqm on the
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