One of the most striking features of the Iran war has been the resilience of the global oil market. Despite the disruption of flows through the Strait of Hormuz, the world’s most important oil transit chokepoint, prices have generally hovered around US$100 (£75) per barrel – a lower level than many observers had expected.
A key reason for this resilience is the growing importance of oil production in the Americas. Even before the war, the International Energy Agency predicted that virtually all global oil demand growth in 2026 could be met by rising supply from North and South American countries such as the US, Canada, Brazil, Guyana and Argentina.
