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If the United States attempts to blockade Iran, then Iran can blockade the Straits of Hormuz very easily. The biggest losers from what will be oil prices going skyward:

  • Europe, which is heavily dependent upon GCC oil and gas

  • India, which relies heavily on GCC oil and gas

  • The GCC states unable to export their oil and gas

  • The US consumer, with oil prices going through the roof

    • The US has very little electrified public transport

China has a massive strategic oil reserve that it can utilize, and Russia can increase its oil exports to China. Iran can also export oil via the new railway that opened that connects it to China.

China also has its own domestic oil production (4 mbpd) plus an oil pipeline from Central Asia. It is not dependent on the GCC for gas supplies, and Russia can supply more via LNG if needed. China also has a fully electrified train, subway and tram infrastructure, with also many buses and taxis electrified, and many millions of electric personal vehicles. A response to such a blockade would be an acceleration of the move to personal EVs.

Russia would of course be laughing all the way to the bank. Iran is an industrialized country that can supply much of its own needs, unlike the GCC states. Both Russia and China will also want to help it survive given its crucial position in Central Asia.

There is also the risk that Iran decides to take the initiative and destroy Israel for good, rather than succumb to a lengthy embargo and destabilization.

That the Trump administration is even contemplating such things is shows a level of desperation and delusion, as well as Zionist influence.

Jan 29
at
10:32 PM

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