GUIDANCE
Why Iran Is Threatening to Close the Strait of Hormuz
Jul 5, 2018 | 21:33 GMT
(ALI MOHAMMADI/AFP/Getty Images)
Highlights
- Facing the imminent reinstatement of U.S. oil sanctions, Iran is threatening to close the Strait of Hormuz, which would shut down the region's oil trade.
- Iran has made this threat before and has never followed through, since actually shutting down the strait would be a drastic and damaging move for the country.
- The tough rhetoric is more than likely to be followed up by more mild retaliation attempts, such as the harassment of vessels in the Strait of Hormuz.
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