Iran’s apparent erratic strikes all over the Gulf and now Azerbaijan, together with its stranglehold of the vital Strait of Hormuz, have resulted in a growing strain on the world’s global energy supplies with incalculable consequences ahead. During the US-Israeli military buildup preceding the war that erupted one week ago, Iran repeatedly warned it would retaliate if attacked, promising widespread disruption.

Since the conflict began last Saturday, Tehran has expanded its aerial campaign across the Gulf and, on Thursday, extended attacks to Azerbaijan. While Iranian officials claim the strikes target only US and Israeli interests, missiles and drones have also hit the Gulf’s energy infrastructure, essential to global supply chains, and disrupted shipping lanes in the Strait of Hormuz, where roughly 20% of the world’s oil passes. Lloyd’s List reported that more than 200 ships remain stranded due to restricted movement in the strait.

Qatar halted liquefied natural gas (LNG) production at its top facilities in Mesaieed and Ras Laffan Industrial City after drone attacks, sending shockwaves through global energy markets. Qatar’s LNG supplies account for around 20% of the world’s total and play a key role in balancing demand across Asia and Europe. Iranian strikes also forced Saudi Arabia’s largest oil refinery to suspend operations, while Iraqi oil production and Israeli gas fields suffered disruptions. Dubai’s ports, among the world’s busiest, were reportedly impacted as well.

The UK Foreign Office said Friday that while the tempo of Iranian missile and drone strikes has slowed since the war’s early days, their focus is increasingly on economic and energy targets. In an interview with the Financial Times, Qatar’s Energy Minister Saad al-Kaabi warned the conflict “could bring down the economies of the world,” adding that continued hostilities would push energy prices higher and trigger shortages affecting industries worldwide.

Experts highlight the potential for a wider economic impact if the Strait of Hormuz remains blocked. Dr. Yousef Alshammari, president of the London College of Energy Economics, told Euronews that such a blockade “could trigger a global recession if it continues,” citing potential political pressure from China, a major consumer of Iranian oil.

Former US ambassador to Azerbaijan Matthew Bryza criticized Iran’s attack on Azerbaijan as lacking strategic logic, noting that Tehran’s actions “don’t make much sense in terms of a coherent, rational military plan.” Bryza suggested that some strikes may reflect decisions by lower-level commanders following directives from Iran’s supreme leader to delegate military authority if senior officials were killed, rather than a coordinated strategy.

The ongoing strikes have caused oil and gas prices to surge, with European gas already up more than 50%, and global markets remain on high alert. Analysts warn that disruptions could escalate further, amplifying the economic toll and keeping international energy markets under pressure as the conflict continues.