Global oil supply chains are once again at risk as a result of the ongoing war between Israel and Hamas, which may spread to the Middle East. Yemeni Houthi militants have been targeting merchant ships going to and from the Suez Canal for days in response to the Gaza invasion launched by Israel following the Hamas terrorist attack. To avoid crossing Yemen’s coast, container ships and oil tankers will have to use the longer and more expensive Cape of Good Hope route, potentially adding around 10 days and millions of dollars to the journey. A situation that has led to a new increase in fuel prices at the pump after more than three months of decline. The attacks of the Houthis in the Red Sea, which prevent commercial ships from accessing the Red Sea, one of the global oil routes, also put pressure on oil prices. According to the regular report of Staffetta Quotidiana, today morning, 19 December, Eni increased the recommended prices of gasoline and diesel by one cent per liter. For gasoline, this is the first increase since September 12: Since then, Eni has reduced recommended prices by 24 cents per liter. For diesel, this was the first increase since September 15, when prices fell by 22 cents.
These are the average prices recorded at around 18 thousand factories at 8 am yesterday morning (December 18), transmitted by managers to the Ministry of Commerce and the Made in Italy Price Observatory and processed by Staffetta: self-service gasoline is 1,767 euros. / liter (-1 per 1000, companies 1.768, white pumps 1.766), self-service diesel 1.732 euro/litre (unchanged, companies 1.733, white pumps 1.730). Gasoline served at 1,909 euros/liter (unchanged, companies 1,947, white pumps 1,832), while diesel served at 1,873 euros/liter (unchanged, companies 1,911, white pumps 1,795). LPG 0.717 Euro/litre (unchanged, companies 0.725, white pumps 0.707), methane 1.450 Euro/kg (unchanged, companies 1.456, white pumps 1.445), LNG 1.417 Euro/kg (unchanged, companies 1.421 Euro/kg, white pumps 1.413 euro /kg). On motorways the situation gets worse: Self-service gasoline costs 1,854 euros per liter (2,123 services), self-service diesel costs 1,827 euros per liter (2,101 services), LPG 0,847 euros/litre, methane 1,540 euros/kg, LNG 1,447 euros/kg.
What happens if the Red Sea is blocked?
Analysts have suggested that oil prices (and therefore fuel, energy and other related products) could rise significantly within a week or two if other major oil companies follow Pb’s lead.
Approximately 15 percent of goods imported to Europe, the Middle East and North Africa were transported by sea from Asia and the Gulf. Of this, 21.5 percent includes refined oil and more than 13 percent includes crude oil.
It is difficult to define what will happen now. For now, the US has moved to form a 10-nation coalition against Houthi attacks in the Red Sea; England, France, Italy and Bahrain are among the countries that will participate in the “multinational security initiative”. “Countries seeking to uphold the fundamental principle of freedom of movement must come together to confront the challenges posed by this non-state actor,” US Secretary of Defense Lloyd Austin said in a statement. The Pentagon explains in a memo that “this is an international problem requiring collective action” and that is why “Operation Prosperity Guardian has been established, bringing together many countries, including the United Kingdom, Bahrain, Canada, France, Italy, the Netherlands.” “Norway, Seychelles and Spain will jointly address security issues in the Southern Red Sea and the Gulf of Aden to ensure freedom of navigation for all countries and strengthen regional security and prosperity.”
In contrast, the Yemeni Houthis, whom Iran is accused of supporting, say they will not stop the attacks in the Red Sea. “Even if the United States manages to mobilize the domestic world, our military operations (in the Red Sea) will not stop until the genocidal crimes in Gaza are ended and food, medicine and fuel are allowed to reach the besieged population of the Strip, despite the sacrifices that will cost us,” the Houthis’ political office said threatens through one of its members, X Mohammed Al-Bukaiti. “Our fight is moral, and we will not abdicate our responsibility to defend the oppressed on earth, as God commands us in the Bible,” he states.
Source: Today IT
Karen Clayton is a seasoned journalist and author at The Nation Update, with a focus on world news and current events. She has a background in international relations, which gives her a deep understanding of the political, economic and social factors that shape the global landscape. She writes about a wide range of topics, including conflicts, political upheavals, and economic trends, as well as humanitarian crisis and human rights issues.
