Why is the Strait of Hormuz considered strategically important?

The Strait of Hormuz is considered strategically important primarily because it is the only maritime outlet from the Persian Gulf. This narrow passage serves as a crucial transit point for a significant proportion of the world's oil supply. Approximately 20% of global petroleum consumption passes through this strait, making it vital for energy security not just in the surrounding regions, but also for economies that rely on this oil supply.

Control over the Strait of Hormuz is significant for geopolitical reasons as well. Any disruption in this passage, whether due to conflict, political instability, or naval blockades, can have profound implications on global oil prices and energy security. Thus, the strategic nature of the Strait of Hormuz fundamentally relates to its role in the flow of oil and other goods from the Persian Gulf to international markets.