LONDON – The European Union is prepared to coordinate a release of jet fuel stocks if disruption to the Strait of Hormuz persists, an EU spokesperson told Reuters on April 17, even as Iran temporarily reopened the key waterway.
European airlines and regulators have warned of flight cancellations, grounded aircraft and disruption to summer holiday travel unless jet fuel supply bottlenecks from the Middle East linked to the Iran war ease soon.
Iran said on April 17 it would reopen the Strait of Hormuz for commercial shipping following a ceasefire agreement in Lebanon.
US President Donald Trump later said a US naval blockade of Iran’s ports would remain until a deal with Tehran is struck.
Shipping firm Hapag-Lloyd said it would avoid transiting the Strait of Hormuz while it assessed Iran’s announcement.
“There are no fuel shortages in the EU at present. We are, however, preparing for possible supply shortages of jet fuels,” the EU spokesperson said in a statement to Reuters, adding the bloc could release reserves if the strait remained disrupted.
“If the situation in the Strait of Hormuz continues, the EU will be preparing to launch a possible coordinated release of jet fuel stocks.”
The spokesperson added that Iran’s announcement did not change current plans and said it would be clearer next week whether the strait remains open.
The comments, the EU’s most direct so far, follow a call earlier this week by Germany’s largest aviation lobby for the release of Europe’s strategic jet fuel reserves to support the sector.
The EU is also set to announce plans next week to optimise refinery capacity and address a looming jet fuel supply crunch, Reuters reported on April 16. REUTERS
