The International Energy Agency warns that the scale of destruction caused by the Middle East war to the global energy supply chain is unprecedented, with a long recovery period ahead. The only short-term solution lies in the reopening of the Strait of Hormuz.
Fatih Birol, Executive Director of the International Energy Agency (IEA), stated on Monday that the Middle East war has resulted in over 40 energy facilities across nine countries suffering &#34;severe or extremely severe&#34; damage, and the restoration of oil fields, refineries, and pipelines will take a considerable amount of time. He warned that this impact is equivalent to the combined effects of the two major oil crises in the 1970s and the gas crisis triggered by the Russia-Ukraine conflict in 2022.
Birol pointed out that the damage extends far beyond the oil and gas sector—key trade routes for global commodities such as petrochemicals, fertilizers, sulfur, and helium have all been disrupted, &#34;which will have serious consequences for the global economy.&#34; Asia, due to its heavy reliance on crude oil imports from the region, is at the forefront of this crisis.
The IEA announced a record release of 400 million barrels of emergency oil reserves in early March and proposed demand-side management measures, but Birol emphasized that the only real solution to the fuel supply issue is the reopening of the Strait of Hormuz.
<h2>Unprecedented Scale of Damage, Highly Uncertain Recovery Timeline</h2>
Birol disclosed these details while attending a National Press Club event in Canberra, Australia, on Monday. He stated that over 40 energy assets distributed across nine Middle Eastern countries have suffered damage ranging from &#34;severe&#34; to &#34;extremely severe,&#34; involving core infrastructure such as oil fields, refineries, and pipelines.
This scale means that even if the conflict ends, normalizing the global energy supply chain will still be a lengthy process. Birol did not provide a specific recovery timeline but indicated that there is unlikely to be any fundamental improvement in the short term.
More than three weeks of conflict in the Middle East has put the global energy supply chain under significant pressure. Shipping through the Strait of Hormuz—the world's most important oil transport chokepoint—has nearly come to a standstill, leading to a sharp rise in prices for crude oil, natural gas, and refined products.
Birol compared the impact of the current situation to three major historical energy crises: the two oil crises of the 1970s and the European gas crisis following the Russia-Ukraine conflict in 2022, &#34;all stacked together.&#34; He stated that with shipping through the Strait of Hormuz nearing a halt, releasing strategic reserves can only alleviate short-term pressure, not serve as a fundamental solution.
<h2>Disruption of Petrochemical, Fertilizer, and Helium Trade, Impact Spreading to the Real Economy</h2>
The impact of this crisis has extended beyond the energy sector itself. Birol noted that the trade of commodities such as petrochemicals, fertilizers, sulfur, and helium has all been affected, and these categories are deeply embedded in global agricultural, industrial, and high-tech supply chains, with trade disruptions likely to have far-reaching effects on the global economy.
Asia's vulnerability is particularly pronounced. Birol stated that Asia's heavy dependence on Middle Eastern crude oil puts it at the forefront of the crisis. When asked about China's decision to restrict fuel exports, he called for countries to work together to address the crisis and hinted that implementing strict export restrictions without sufficient justification &#34;may not be viewed favorably by the international community.&#34;
Facing unprecedented pressure, the IEA announced the release of 400 million barrels of emergency oil reserves in early March, marking the largest scale in the agency's history. Last week, this Paris-based organization also proposed a series of measures to help energy-importing countries reduce demand.
Birol stated that if the situation worsens further in the coming days or weeks, the IEA could consider additional releases of reserves as needed. However, he emphasized that these measures are all emergency relief methods—against the backdrop of shipping in the Strait of Hormuz nearing a standstill, the only real solution to the fuel supply issue is the reopening of this critical global energy trade route

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The International Energy Agency (IEA) warns that the conflict in the Middle East has damaged over 40 energy facilities across nine countries, with a long repair cycle. Its impact is comparable to the combination of the two historical oil and gas crises. The conflict has caused a complete disruption of global supply chains for fertilizers, petrochemicals, and helium. The 400 million barrels of strategic reserves released by the IEA can only provide temporary relief; the only way for the global energy and real economy to escape the crisis is the restoration of navigation in the Strait of Hormuz

- The International Energy Agency (IEA) warns that the impact of the Middle East conflict on global energy supply chains is unprecedented, with over 40 energy facilities severely damaged across nine countries.  
- The recovery of oil fields, refineries, and pipelines is expected to take a long time, and Asian countries, heavily reliant on oil imports from the region, are particularly affected.  
- IEA's executive director emphasizes that the only real solution to fuel supply issues is the reopening of the Strait of Hormuz, while also noting the broader economic implications due to disruptions in petrochemicals and trade.

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IEA: Over 40 energy facilities in the Middle East have suffered "severe damage," with an impact comparable to the total of the two historical oil crises!