Strait of Hormuz reopening won't end shipping risks

Article excerpt

A proposed U.S.-Iran deal to reopen the Strait of Hormuz, a corridor through which roughly a fifth of global oil passes, offers hope to shipping companies and energy markets bracing for relief. But even if the waterway reopens, experts warn that naval mines, soaring insurance premiums, and persistent geopolitical tensions mean shipping disruption could linger for months. The calculus is grim: insurers remain wary, alternative routes have become entrenched, and the underlying mistrust between Washington and Tehran suggests fragile gains could evaporate quickly.