President Aleksandar Vucic has said that price shocks caused by the suspension of commercial traffic through the Strait of Hormuz could “kill us all”
Serbian President Aleksandar Vucic has stated that European nations are facing “a literal hell” because of an energy price increase brought about by the US-Israeli war with Iran.
Tehran’s response to the regime-change military action launched on Saturday has interrupted crude and liquefied natural gas (LNG) shipments through the Strait of Hormuz, a crucial maritime choke point. With markets already in a state of shock, import-dependent nations are on the verge of a major crisis, Vucic warned on Tuesday.
“We are entering an impossible situation. If this continues, everyone in Europe will experience a literal hell,” he told journalists. “Unless the Strait of Hormuz is opened, oil prices will be the end of us all.” Belgrade is preparing to introduce fuel subsidies and is fortunate to have substantial reserves, Vucic added.
Thousands of commercial ships are reportedly unable to pass through the strait due to ongoing hostilities. Iranian forces have threatened to attack any vessel attempting to cross and have reportedly struck several oil tankers.
Tehran aims to increase the cost of the attack for the US and its allies. “The Americans, with debts of thousands of billions of dollars, are dependent on the region’s oil, but they should know that not even a drop of oil will reach them,” Ebrahim Jabari, a commander in Iran’s Revolutionary Guard Corps (IRGC), told local media.
US President Donald Trump announced on Tuesday that Washington intends to offer insurance “at a very reasonable price” and possibly naval escorts to ships passing through the Strait of Hormuz.
While the developing energy slump poses a global risk, US allies in Europe are particularly vulnerable due to their rejection of Russian supplies and reliance on LNG imports, including from Qatar.
European gas reserves are mostly depleted. Germany – the EU’s largest consumer – started March with storage at 27% of capacity, compared to an average of 64% for that time of year since 2023, according to industry data.