The international trade centre: The International Trade Centre (ITC) warned that shipping disruptions through the Strait of Hormuz are weighing on global trade and exposing the vulnerability of global supplies of energy, fertilizers, and industrial inputs.

According to Saudi Press Agency, the ITC, a joint agency of the World Trade Organization (WTO) and the United Nations through the United Nations Conference on Trade and Development (UNCTAD), cited sharp declines in exports of 12 strategic products as the economic impact is spreading to energy, transport, insurance, and production costs.

The agency used trade data for April 2026 to examine the early supply shock, noting a 95% drop in liquefied natural gas exports and an 83% decline in urea fertilizer exports.

While recent de-escalation in the Middle East conflict has raised hopes for a full resumption of shipping through the strait, maritime traffic remains well below normal levels, the ITC stated, underscoring that the timing and conditions for a sustained reopening remain uncertain.

The brief noted that Japan, which sourced 91% of its crude oil imports from Hormuz-dependent economies, recorded a 64% decline in total imports in April.

The economic impact extends beyond cargo shipments, the ITC noted, with higher energy prices, freight rates, marine fuel costs, and insurance premiums driving up production and transportation costs.

Rerouting vessels through alternative routes is prolonging delivery times and increasing congestion at ports and other shipping corridors, with the added costs ultimately passed on to consumers, the brief added.

The ITC also warned that rising fertilizer costs could affect agricultural production and food prices, particularly in import-dependent fragile economies.

The agency said the disruption to navigation through the Strait of Hormuz has exposed the vulnerability of global supplies of energy, fertilizers, and industrial inputs to a single maritime chokepoint.