The head of the International Energy Agency has framed US President Donald Trump’s 48-hour ultimatum to Iran to reopen the Strait of Hormuz as a reflection of just how urgent the global energy crisis has become. Fatih Birol, speaking in Canberra, said the demand underscores what the IEA has been warning for weeks — that the closure of Hormuz is the central driver of a crisis already equivalent to the 1970s twin oil shocks and the Ukraine gas emergency combined. The IEA chief called for international diplomacy to prevail over further escalation.
Trump warned Tehran that failure to reopen the strait would result in the destruction of Iran’s energy infrastructure. Iran’s military responded by threatening strikes on US-linked energy and desalination assets in the region. Birol, while not directly addressing the political standoff, said the IEA’s focus remained on protecting global energy supply and working with member governments to manage the crisis through every available tool.
The war in Iran began with US and Israeli strikes on February 28 and has since led to the loss of 11 million barrels of oil per day and 140 billion cubic metres of natural gas from global markets. These losses surpass those of the 1973 and 1979 oil crises — which together removed around 5 million barrels per day — and exceed the 75 billion cubic metres of gas lost during the Ukraine conflict. At least 40 energy assets across the Gulf have been severely damaged.
The IEA authorized the release of 400 million barrels of oil from strategic reserves on March 11, the largest emergency action in its history. Birol said the agency could deploy further reserves if conditions warranted, noting that initial stocks released represented only 20 percent of available supplies. He also urged governments to adopt demand-reduction measures, including expanded remote work and lower speed limits.
The Asia-Pacific region has been most severely affected by the closure of Hormuz, with Japan considering minesweeping operations if a ceasefire is achieved. Birol warned that the crisis has also disrupted supplies of petrochemicals, fertilizers, sulfur, and helium — materials critical to global agriculture and industry. He concluded by urging world leaders to prioritize cooperative solutions over national self-interest.
