US attack on Iranian oil hub deepens crisis around Strait of Hormuz

The United States has launched a major strike on Iran's key oil export hub, Kharg Island, raising fears of a wider regional confrontation as Tehran warned it could target American business facilities if its energy infrastructure comes under attack.

The strike has also intensified tensions around the Strait of Hormuz, one of the world's most critical energy shipping routes, where hundreds of vessels remain stranded amid growing security concerns.

On the evening of March 13, US Eastern Time, President Donald Trump said on social media that American forces had carried out "heavy airstrikes" against military targets on Kharg Island. Trump said the operation "completely destroyed" the island's military targets but avoided oil infrastructure.

US Central Command confirmed the strike on March 14, saying US forces conducted a large-scale precision operation overnight that hit more than 90 military targets, including naval mine storage facilities and missile bunkers.

Kharg Island is the main hub for Iran's oil exports, making it a strategically sensitive location in the Persian Gulf.

Iran signals possible retaliation

Iranian authorities said the situation on the island had been brought under control and that air defense systems resumed operation shortly after the attack.

Earlier, Iranian Parliament Speaker Mohammad Bagher Ghalibaf warned that if the United States or Israel attacked Iranian islands in the Persian Gulf, Tehran would "abandon all restraint."

Iranian Foreign Minister Abbas Araghchi said the strikes on Kharg Island and Abu Musa Island involved HIMARS short-range rocket systems.

Araghchi said the launch sites had been identified in two locations inside the United Arab Emirates and described the use of the UAE as a base to attack Iran as "completely unacceptable."

He warned that if Iran's energy facilities were targeted, Tehran could retaliate by striking US corporate facilities or companies with American shareholdings in the region.

Iranian political analyst Ahmad Zeidabadi said Washington appeared to believe a "devastating blow" would force Iran's military to surrender quickly.

But the conflict has already lasted longer and grown larger than originally expected, he said, warning that the risks of a major war in such a sensitive region may have been underestimated.

Hormuz tensions escalate energy risks

Iranian officials and analysts say the strike is part of a broader effort by Washington to increase pressure around the Strait of Hormuz.

The waterway carries roughly a quarter of the world's seaborne oil trade, making any disruption a major concern for global markets. According to the Lloyd's Market Association, roughly 1,000 ships carrying cargo worth about $25 billion have been stranded in the Gulf and nearby waters due to security concerns.

In a statement on March 14, the Islamic Revolutionary Guard Corps (IRGC) said the strait remains under full surveillance by its naval forces. Tankers and commercial ships linked to the United States, Israel or their allies remain barred from passing through the waterway and could become targets if they attempt to do so.

Trump said the United States would soon ensure the strait is reopened and freely navigable, adding that several countries will send naval vessels to escort shipping.

European countries are already exploring diplomatic options to prevent a prolonged disruption. 

The Financial Times reported that several European states, including France, have begun tentative contacts with Iran to seek arrangements allowing their vessels to safely pass through the Strait of Hormuz. Italy is also reportedly attempting to reopen dialogue channels.

Energy analysts warn the consequences could be severe. The Guardian cited analysts at Citigroup as saying that if the strait were completely closed for three months, European wholesale natural gas prices could rise to $100 per megawatt-hour – nearly three times pre-crisis levels. Goldman Sachs estimates that even a one-month disruption could drive European gas prices up by 130 percent.

Europe has already faced high energy costs after reducing reliance on Russian supplies following the Russia–Ukraine conflict.

Trump advisors divided over next step

The expanding conflict is also raising concerns inside the United States over its economic and political costs, including rising oil prices, mounting casualties and weakening public support.

According to reports, officials and advisers around Trump are divided over the next step.

Some favor ending the conflict quickly to avoid oil price spikes that could hurt Republicans in upcoming midterm elections, while others argue the US should continue military pressure to destroy Iran's missile capabilities and prevent it from developing nuclear weapons.

Sources said Trump has rejected proposals from several Middle Eastern countries to begin ceasefire negotiations. Countries including Oman and Egypt – which had previously mediated between Washington and Tehran – have attempted to reopen communication channels but have made little progress.

According to NBC News, Trump said Iran had expressed willingness to discuss a ceasefire but that its conditions were "not good enough."

Meanwhile, Iran's Islamic Revolutionary Guard Corps commander Mohsen Rezaei said Tehran would consider ending the war only if it recovers its losses and the United States withdraws from the Persian Gulf.

Currently, Israel has informed Washington that its stockpile of ballistic-missile interceptors is approaching a "serious shortage," placing additional pressure on its air defense systems as the conflict continues.

The confrontation is already spilling into other sectors across the region.

In the UAE's Fujairah emirate, a fire broke out at a major bunkering hub after debris fell during the interception of a drone, the emirate's media office said on Saturday.

On March 13, branches of Citibank in Dubai and Manama were hit by drone attacks.

An IRGC spokesperson said the strikes were retaliation for earlier attacks on two Iranian banks and warned that all US bank branches in the region could become legitimate targets if similar actions occur again.