How a 95 percent drop in Hormuz traffic changed global shipping

What the report says

Six months into the United States-Israel war on Iran, the Strait of Hormuz remains effectively closed and has become one of the sharpest shipping disruptions in decades, according to Al Jazeera’s report published Aug. 27, 2026. The narrow waterway, a key passage between the Gulf and the open sea, normally handles a major share of the world’s oil, gas and trade. Al Jazeera said traffic has fallen from more than 100 vessels a day before the war to about five a day in recent weeks.

The report says the drop followed the Feb. 28 strikes on Iran and Iran’s March 2 announcement that the strait was closed. Brief periods of reduced pressure and a June 17 interim agreement brought limited recovery, but traffic later fell back after the United States resumed a blockade on Iranian ports in July. Al Jazeera cited data showing crude exports from the Gulf have nearly halved from prewar levels, while direct crude movement through Hormuz has declined sharply.

The disruption is affecting countries and sectors far beyond the Gulf. Al Jazeera said energy-importing states are facing higher costs, delays and pressure to find new suppliers. The article also notes that shipping routes have shifted toward the Red Sea and Southeast Asia, with Singapore and Malaysia taking on more traffic. Some Gulf states, including Kuwait and the UAE, saw steep drops in port calls, while Saudi Arabia was less affected because of its pipeline network and access to Red Sea ports.

The report places the crisis in broader context by noting that roughly 80% of world trade by volume moves by sea, underscoring why a single chokepoint can ripple through global markets.