Resolving the Strait of Hormuz Closure Dispute and Its Impact on Fuel Prices in the United States

Abstract

The dynamics of geopolitical tensions in the Middle East, particularly those involving Iran and Western countries, make the Strait of Hormuz a crucial point prone to conflict and potentially significantly disrupting global energy stability. As a major chokepoint for global oil distribution, any potential closure of this strait could trigger an international legal and economic crisis, particularly affecting the stability of fuel prices in the United States. This study aims to analyze the international dispute resolution mechanisms resulting from the closure of the Strait of Hormuz and examine its impact on fuel prices in the United States. The research method used is normative juridical with a legislative and conceptual approach. The results indicate that dispute resolution can be achieved through diplomatic negotiations, mediation by the United Nations, international arbitration, and the International Court of Justice. From the perspective of the United Nations Convention on the Law of the Sea, the closure of the strait contradicts the principle of transit passage. From an economic perspective, disruptions to global oil distribution increase world oil prices and have a direct impact on fuel prices in the United States and domestic inflationary pressures.