Trade Exposure: Oil Import Dependency by Country & Industry

The Persian Gulf supplies roughly 21 million barrels of crude oil per day, with the majority transiting the Strait of Hormuz. Refineries across Asia—particularly in Japan, South Korea, India, and China—are configured to process medium-sour Gulf crude grades (Arab Light, Basra Medium, Kuwait Export). These facilities receive crude via very large crude carriers (VLCCs) on voyages of 10–25 days from loading terminals at Ras Tanura, Basra, and Kharg Island. Refinery throughput planning and crude slate optimization are built around these regular Gulf supply flows.

The UAE ports of Jebel Ali (Dubai) and Fujairah serve as major transshipment hubs connecting global container and bulk shipping networks. Jebel Ali handles over 14 million TEU annually, functioning as a distribution node for cargo moving between Asia, Europe, Africa, and the Middle East. Fujairah is the world’s second-largest bunkering port, where vessels refuel during transit. Container lines, tanker operators, and bulk carriers all use these Gulf hubs as standard waypoints in their route networks.

Gulf states—particularly Saudi Arabia (SABIC), Qatar, and the UAE—are among the world’s largest producers of petrochemical feedstocks including ethylene, polyethylene, polypropylene, and methanol. These products are manufactured from natural gas liquids and naphtha, then exported by chemical tanker and container vessel through the Strait of Hormuz to buyers in Asia, Europe, and the Americas. Downstream manufacturers of plastics, synthetic rubber, packaging, and textiles depend on these feedstock flows for production inputs.

India produces over 40% of the world’s generic medicines and a significant share of active pharmaceutical ingredients (APIs). A portion of the raw chemical intermediates used in Indian pharmaceutical manufacturing is sourced from Gulf petrochemical producers and shipped through Hormuz. Additionally, finished pharmaceutical products from India are exported westward via shipping routes that transit the Gulf and connect to European and African markets. The pharmaceutical supply chain thus has both inbound and outbound exposure to strait transit.

The Gulf region is a major exporter of nitrogen-based fertilizers, particularly urea and ammonia, produced from abundant natural gas. Saudi Arabia (SABIC, Ma’aden), Qatar (QAFCO), and Oman are leading suppliers. These fertilizers are shipped through the Strait of Hormuz to agricultural markets in South Asia, Southeast Asia, East Africa, and Latin America. Fertilizer availability and pricing directly influence crop yields, food production costs, and food security in importing regions. The trade flow is seasonal, with peak demand during planting periods.

Qatar is the world’s largest exporter of liquefied natural gas, producing over 77 million tonnes per year. Virtually all of Qatar’s LNG exports transit the Strait of Hormuz aboard purpose-built LNG carriers en route to buyers in Asia (Japan, South Korea, China, India) and Europe. Qatar supplies approximately 20–25% of global LNG trade. These cargoes move on long-term contracts (10–25 years) and spot charters, with voyage durations of 8–20 days depending on destination. The UAE and Oman also export smaller LNG volumes through the strait.

Jet fuel (kerosene) is refined from crude oil, and Gulf refineries are significant producers supplying both regional airlines and international carriers. Gulf hub airlines—Emirates, Qatar Airways, Etihad—operate large-scale connecting networks that route passengers and cargo through airports at Dubai, Doha, and Abu Dhabi. Aviation fuel for these hubs is supplied by local refineries and imports arriving through the strait. Beyond hub operations, jet fuel price is linked to global crude oil markets, so aviation fuel costs worldwide are connected to Gulf supply flows.

Electronics manufactured in East Asia (semiconductors, consumer devices, components) are shipped to Middle Eastern, European, and African markets via container routes that frequently transit the Strait of Hormuz or connect through Gulf transshipment ports like Jebel Ali. While electronics production itself is not located in the Gulf region, the shipping logistics for these high-value, time-sensitive goods rely on established Gulf transit corridors. Additionally, petrochemical inputs for circuit boards, casings, and packaging materials partially originate from Gulf producers.