Energy Agencies Warn of Ongoing Supply Disruptions as Hormuz Flows Lag Recovery

Global energy agencies warn that oil and gas supply disruptions from the Middle East conflict could persist as Strait of Hormuz shipping remains below normal. Infrastructure damage and constrained flows may continue to impact global markets even after routes reopen.

(P&GJ) — The International Energy Agency (IEA), International Monetary Fund (IMF) and World Bank Group warned that the ongoing conflict in the Middle East is driving prolonged disruptions to global oil and gas supply, with key shipping routes yet to fully recover.

In a joint statement April 13, the organizations said flows through the Strait of Hormuz remain below normal levels, highlighting continued risks to crude and LNG transport from the region. Even as shipping activity resumes, the agencies said it will take time for global commodity flows to stabilize due to infrastructure damage and supply chain disruptions.

The disruption has pushed up prices for oil, natural gas and related commodities, with disproportionate impacts on energy-importing and lower-income countries. Supply constraints are also affecting downstream sectors, including fertilizer production and food supply chains.

For midstream markets, the slow normalization of Hormuz traffic underscores ongoing uncertainty around global trade flows and export capacity from key Middle East producers. Damage to energy infrastructure and logistical bottlenecks could continue to limit throughput and delay the rebalancing of global supply.

The agencies said they are coordinating efforts to monitor market impacts and support affected countries, warning that elevated energy prices and constrained supply could persist even after shipping routes fully reopen.

Image: International Energy Agency (IEA)