While in the last week the main attention surrounding the crisis in the Strait of Hormuz has been focused on the consequences for the global oil trade, the blockade is already starting to affect other important raw materials. Among them is sulfur - a key industrial resource, the supplies of which have also been interrupted, writes the BBC.
A significant part of the world's seaborne supplies of sulfur and sulfuric acid pass through the Strait of Hormuz. According to analysts, about half of the global seaborne sulfur trade passes through this strategic sea corridor. The Persian Gulf region is among the largest producers of sulfur in the world, as the substance is obtained as a by-product in the processing of the local variety of oil.
Sulfur is of key importance to a number of industries. It is widely used in the production of fertilizers, which are essential for agriculture, as well as in the production of semiconductors - the microchips that are used in everything from mobile phones to electric cars. In addition, sulfur plays an important role in the refining of nickel and in the production of copper - two of the most used metals in modern industry.
The suspension of supplies is already having an impact on markets. A significant part of global sulfur imports goes to China, and according to data from the analytical company Argus, prices for the raw material on the Chinese market have risen by about 15% in the last week alone.
Experts warn that if the blockade of the Strait of Hormuz drags on, this could cause ripple effects not only on the energy sector, but also on the production of fertilizers, electronics and metals on a global scale.