Iran may be threatening to close the Strait of Hormuz but experts told CNBC that it’s also the one with the most to lose. In major move after U.S. struck Iranian nuclear sites, the country’s parliament on Sunday approved the closure of the Strait of Hormuz, according to a report from Iran’s state-owned Press TV that CNBC could not independently verify. The step would risk alienating Tehran’s neighbors and trade partners. The decision to close the waterway now rests with the country’s national security council, and its possibility has raised the specter of higher energy prices and aggravated geopolitical tensions, with Washington calling upon Beijing to prevent the strait’s closure. Vandana Hari, founder of energy intelligence firm Vanda Insights, told CNBC’s “Squawk Box Asia” that the possibility of closure remains “absolutely minimalistic.” If Iran blocks the strait, the country risks turning its neighboring oil producing countries into enemies and risks hostilities with them, she said. Data from the U.S. Energy Information Administration revealed that Iran had shipped 1.5 million barrels per day via the Strait of Hormuz in the first quarter of 2025. Furthermore, a closure would also provoke Iran’s market in Asia, particularly China, which accounts for a majority of Iranian oil exports. “So very, very little to be achieved, and a lot of self inflicted harm that Iran could do” Hari said. Her view is supported by Andrew Bishop, senior partner and global head of policy research at advisory firm Signum Global Advisors.

Full report : Should Iran follow through on its threat to close the Strait of Hormuz, it could alienate its neighbors and trade partners.