US asks China to dissuade Iran from closing Strait of Hormuz oil route

Roughly 20% of global oil passes through the Strait; US urges Beijing to act as Iran's parliament backs closure plan after US strikes on nuclear sites

US Secretary of State Marco Rubio has urged China to intervene and dissuade Iran from shutting down the Strait of Hormuz, one of the world's most critical oil shipping routes. His request followed Iranian state media reports that the country’s parliament had approved a proposal to close the Strait, although the final decision rests with Iran’s Supreme National Security Council.

 

The move comes days after the United States struck three of Iran’s nuclear facilities, escalating tensions in West Asia and raising fears of a broader regional conflict.

 

Rubio: Strait closure would be 'economic suicide' for Iran

 

Speaking to Fox News on Sunday, June 22, Rubio said he had encouraged China to speak directly with Iranian authorities, noting that Beijing’s economic interests were deeply tied to uninterrupted shipping through the Strait. “If Iran closes the Strait, it would be economic suicide for them,” Rubio said, adding that while the US has response options, other nations—particularly energy importers—would suffer more.

 

 

China, the largest importer of Iranian oil, imported over 1.8 million barrels per day from Iran last month, according to data from ship-tracking firm Vortexa.

 

Strait of Hormuz: Global oil lifeline

 

Roughly 20 per cent of the world’s oil supply transits through the Strait of Hormuz. It serves as the main conduit for energy exports from key producers from West Asia, including Saudi Arabia, the UAE, and Iraq. Any disruption could cause severe market volatility and spike global fuel prices.

 

Besides China, several major Asian economies—such as India, Japan, and South Korea—are heavily dependent on oil shipped through this strategic waterway.

 

Oil prices surge after US-Iran escalation

 

Oil prices spiked in the wake of the US strike on Iran’s nuclear facilities. On Monday morning, Brent crude futures rose by $1.52, or 1.97 per cent, to $78.53 per barrel—the highest level in five months.

 

Market watchers say tensions in the Strait could push prices higher still, especially if Iran carries through on its threat.

 

Indian exporters brace for freight shock

 

Exporters and logistics firms in India are preparing for renewed shipping disruptions through the Gulf. Dushyant Mulani, chairman of the Federation of Freight Forwarders’ Associations in India, said that freight rates had begun to rise and the situation remained volatile. He noted that with the United States targeting key Iranian nuclear facilities, retaliation was anticipated and tensions were likely to remain elevated. According to him, this would impact oil prices and shipping costs, with war risk premiums already being applied to shipments.