Iran's crude oil exports have collapsed by roughly 85 percent since the United States reimposed a naval blockade in mid-July, dropping from about 1.7 million barrels per day to roughly 260,000 barrels per day in early September, according to Kpler tanker-tracking data cited by Reuters. The plunge has turned into the most severe supply squeeze on Iranian oil since the peak of the last sanctions era, and the shock is reverberating through global crude markets as Brent crude surged past $97 per barrel on September 4 before settling near $96.
The numbers tell a stark story. Iranian crude loadings fell from 1.7 million bpd a year ago to 260,000 bpd this month, a decline that effectively cuts off Tehran's primary revenue source. The blockade, tightened on July 14, combined with expanded secondary sanctions targeting countries doing business with Iran, has made the front companies, unregistered tankers and smuggling routes that Iran used for decades too expensive to operate, three senior Iranian sources told Reuters. Washington's latest measures specifically target the financial clearing networks that allowed Iran to process dollar transactions needed for both oil sales and critical imports.
Brent crude touched $97.39 per barrel on September 4, its highest level in weeks, before pulling back to around $95.50-$96 by the end of the session. The benchmark posted a weekly gain of roughly 7.6 to 10 percent, depending on the settlement, marking its strongest weekly advance since mid-July. The price surge reflects not just the Iranian supply shortfall but broader fears that the conflict between Washington and Tehran could further disrupt the Strait of Hormuz, through which roughly 20 percent of global oil supply transits daily. Only four to six commodity vessels crossed the strait on August 28, down from a 10-day average of approximately 13, according to Kpler data. US Energy Secretary Chris Wright said 17 million barrels passed through Hormuz on Monday, though that figure has not been independently confirmed.
