“Global markets would feel it far more intensely if Iranian production stopped.”Moreover, fear of regional conflict in the Gulf weighs heavily in Iran’s case. “Roughly half of the world’s oil reserves and a third of global oil production is in the Middle East. These floating storage sites are mostly anchored in Southeast Asia, close to buyers like China, which purchases more than 90% of all Iranian oil production. “There are significant amounts of Iranian oil onthe high seas off the coast of Malaysia,” says Goldthau. Lastly, oil rigs and refineries in neighboring states could become the target of an attack, which would also impact oil markets.

Source: Dhaka Tribune January 15, 2026 15:06 UTC