Beyond oil, the conflict disrupts supply chains for materials like sulfur and helium, which are essential for producing copper, cobalt, and components used in semiconductor manufacturing. This creates a significant, non-obvious risk to the global tech industry.
In response to severe energy shortages, countries like the Philippines, Myanmar, and Sri Lanka are implementing drastic conservation measures. These include four-day workweeks for government employees, driving limits, and gasoline rationing, signaling the acute real-world impact of the supply shock.
Despite government actions like tapping strategic reserves and using alternate pipelines, these measures can only offset about 9 million barrels per day of the 20 million lost from the Strait of Hormuz. This leaves a massive 11 million barrel per day shortfall, dwarfing previous supply shocks.