Hormuz Disruption Fears: Half of India's Oil Supplies at Risk After US-Israel Strike on Iran

• A US-Israel attack on Iran on February 28 raises fears of Strait of Hormuz disruption, threatening half of India's monthly oil imports.
• Approximately 2.6 million bpd of India's crude imports, primarily from Iraq, Saudi Arabia, UAE, and Kuwait, transit the Strait of Hormuz.
• India is exploring bypass pipelines like Saudi Arabia's East-West and UAE's Abu Dhabi Crude Oil Pipeline, but their capacity is limited.
• India is accelerating purchases from alternative suppliers, deepening term-contracts, and using strategic petroleum reserves.
• Disruption would lead to higher import costs, freight and insurance spikes, and potential short-term supply tightness for India.