Axios: The economic consequences of the Iran conflict may last much longer than the conflict itself
Even if a quick ceasefire is reached or the Hormuz Strait is unblocked, the impact on the global economy will not disappear out of nowhere - supply disruptions may last for months, and in some cases even years.
The report points out that the blockade of the Hormuz Strait has already disrupted the global flow of raw materials. Now, attacks on Persian Gulf energy infrastructure could further worsen the situation.
Saad al-Kaabi, the Qatari Minister of Energy, said that the attacks destroyed about 17% of the country's natural gas export capacity. The damage could lead to a long-term reduction in liquefied natural gas (LNG) supplies in the region - about 13 million tons per year.
The report also lists a series of chain reactions - from rising food prices to shortages of semiconductors.
Natural gas is a key raw material for fertilizers, and about one-third of global fertilizer trade by sea passes through the Hormuz Strait.
Attacks on Qatar's natural gas facilities will also affect helium production - a key raw material for semiconductor manufacturers. Qatar is the world's second-largest helium producer, second only to the United States.
The report states that economists at Wall Street and the Federal Reserve have all raised their inflation expectations.
Original: toutiao.com/article/1860298360911872/
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