Middle East Tensions Disrupt Strait of Hormuz; Iraq's Oil Output Hits 1.2M Barrels Per Day in July

According to Jin10 data, geopolitical tensions in the Middle East have disrupted energy shipments through the Strait of Hormuz in mid-July 2026. U.S. military conducted vessel inspections in the Gulf of Oman, while sanctioned tankers reversed course in the region. Iran stated the strait will not reopen under U.S. pressure, and Iraqi and Syrian authorities plan to jointly develop a cross-border oil pipeline to bypass the waterway.

Despite regional instability, Iraq's crude oil loading volume in the first half of July more than doubled compared to June levels, reaching 1.2 million barrels per day. Meanwhile, Venezuela's oil production is projected to reach 1.4 million barrels per day by year-end, and Pakistan plans to increase LNG purchases amid transportation disruptions.