Dmitry Kuznetsov, Researcher of the International Trade Department at the Gaidar Institute, assessed in a commentary for RIA Novosti possible consequences for Russia from the escalation of conflict in the Middle East and the following complications in shipping in the Persian Gulf.
As a reminder, amid the escalating Middle East conflict and exchanges of fire between Iran, Israel and the United States, the world's largest container carrier, Maersk, announced an indefinite suspension of shipments through the strategically important Strait of Hormuz, a narrow passage connecting the Persian Gulf in the southwest with the Gulf of Oman in the southeast. Tehran, however, stated that it has no current plans to close this route to oil and gas shipments from the region.
According to Dmitry Kuznetsov, despite virtual halt to shipping traffic through the Strait of Hormuz, the Russian economy is unlikely to face serious difficulties.
"Russia could experience insignificant losses as a result of the increased difficulties in shipping in the Persian Gulf, as trading with countries in the region as a whole is quite limited. However, it can be expected that rising price quotations for oil, LNG, and petrochemicals will bring Russia much greater gains compared to relatively minor and highly speculative losses associated with rising freight costs," stated Dmitry Kuznetsov.