International Energy Agency Executive Director Fatih Birol said that a prolonged closure of the Strait of Hormuz could push the global economy into a "red zone."

The warning highlights the fragility of global energy supply chains. Because the Strait of Hormuz serves as a strategic waterway between the Persian Gulf and the Gulf of Oman, any extended blockage threatens the stability of energy-dependent nations.

Birol said the risk is particularly acute for developing economies in Asia. He said that the current Iran-related conflict has disrupted oil and gas supplies more than several recent global crises combined, a shift that could trigger widespread economic instability if not resolved quickly.

According to Birol, there is a critical window for resolution. He said that if the waterway is not reopened by June [1], the global economy may enter a red zone.

"If Hormuz is not reopened by June, the global economy may enter a red zone," Birol said.

The IEA head said that the scale of the current disruption exceeds previous shocks. The reliance of Asian markets on these specific maritime routes means that a failure to restore transit could lead to severe price volatility, and energy shortages in the region.

“"If Hormuz is not reopened by June, the global economy may enter a red zone."”

The Strait of Hormuz is one of the world's most critical chokepoints for petroleum exports. A failure to reopen the route by the June deadline would likely cause a spike in global oil prices, disproportionately impacting emerging markets in Asia that lack the strategic reserves or diversified energy sources to absorb a long-term supply shock.