Is the world at risk of another energy shock?

Global shipping disruptions are wreaking havoc on the world's busiest trade routes, with key chokepoints in the Strait of Hormuz, Bab al-Mandeb, and the Black Sea experiencing significant congestion and delays. The resulting bottlenecks are threatening to disrupt the flow of essential goods, including oil, natural gas, and grains, and are likely to drive up costs for consumers worldwide. As global demand for these commodities continues to rise, the ongoing disruptions are putting pressure on already-tight supply chains, sparking concerns about potential shortages and price spikes in the months to come. With the global economy still reeling from the effects of the pandemic and ongoing conflicts, these disruptions are adding to the uncertainty and volatility in the markets.

Disruptions across Strait of Hormuz, Bab al-Mandeb and the Black Sea threaten supplies and raise costs for consumers.