Mike Baker
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Appearances Over Time
Podcast Appearances
Obviously, roughly a fifth of the world's oil and liquefied natural gas shipments moved through that narrow waterway before the conflict began.
Everyone understood that if the strait were ever closed, the consequences would be severe.
Then, earlier this year, the hypothetical became reality.
Now, even as shipping slowly begins to move again through the Strait, and the U.S.
and Iran appear to be moving forward with their peace agreement, countries across the Gulf are asking a simple question.
What happens next time?
For the United Arab Emirates, the UAE, the answer appears to be straightforward.
Never depend on the Strait of Hormuz again.
According to multiple reports this week, new A.E.
officials are pursuing what they call, quote, zero Hormuz dependency.
It's an ambitious effort to ensure that the country's economy can continue functioning, even if the region's most important shipping lane is disrupted again in the future.
and they appear to be prepared to spend billions of dollars to make it happen.
Speaking to Bloomberg, UAE Foreign Trade Minister Tani al-Zaoudi said the country is moving toward having, quote, zero Hormuz dependency, regardless of whether the strait fully reopens.
The UAE's plan centers on dramatically expanding its infrastructure along the Gulf of Oman on the eastern side of the country.
Unlike ports located inside the Persian Gulf,
Facilities along this coastline can access the Indian Ocean without passing through the Strait of Hormuz.
Officials are planning major expansions of the ports of Fujairah, Diba, and Khor Fakkan.
They're also studying the construction of at least one new harbor, along with new rail lines, highways, and energy infrastructure connecting those ports to oil and gas facilities elsewhere in the country.
And at the heart of the strategy are the pipelines.
The UAE already operates the Habshan-Fujairah pipeline, which allows crude oil to bypass the strait and flow directly to the port of Fujairah.