Oil tankers near the Strait of Hormuz [Reuters=Yonhap News]

Amid Iran's de facto blockade of the Strait of Hormuz against the United States and Israel, the country is considering a plan to allow only vessels trading crude oil in yuan to pass through, CNN reported on the 14th (local time).

A source said that Iran is proceeding with a new plan to manage the flow of oil tankers through the Strait of Hormuz, and in this context, the possibility of allowing passage for vessels trading in yuan has emerged.

Global crude oil trade is conducted almost entirely in U.S. dollars, except for Russian crude oil, which is subject to Western sanctions. Russian crude oil is currently paid for in local currencies such as rubles or yuan.

Iranian authorities appear to be considering these measures as a way to strengthen their control over the Strait of Hormuz in a wartime situation and to maximize war funding by relying on China's influence.

While China officially calls for an end to the Middle East conflict, suspicions persist that it is secretly supporting Iran from behind the scenes.

On the 11th, the American business news outlet CNBC, citing an oil tanker tracking firm, reported that Iran had transported at least 11.7 million barrels of crude oil through the Strait of Hormuz since the war began on the 28th of last month, all of which were destined for China.

On the 9th, The Washington Post (WP) also reported that two vessels belonging to Iran's state-owned shipping company appeared to have departed from Gaolin Port in Zhuhai, southeastern China, which houses missile propellant fuel storage facilities, and sailed towards Iran.

The United States claims that the regime and key military facilities in Iran have been severely damaged by the war, but Iran remains resolute in its will to resist.

In particular, with passage through the Strait of Hormuz blocked for over two weeks, global crude oil transportation has faced significant disruption, and oil prices have reached their highest levels since Russia's invasion of Ukraine due to market anxiety.

The closing price of Brent crude oil futures for May delivery yesterday was $103.14 per barrel, marking the highest level since late July 2022 on a closing basis.