Yi Whan-woo is a Korea Times journalist primarily covering finance. He writes in-depth articles on macroeconomy and financial markets and previously covered sports, politics, diplomacy and inter-Korean affairs, among others. Feel free to contact him at yistory@koreatimes.co.kr.
Shipping through Hormuz still uncertain despite ceasefire, top security adviser says
National Security Adviser Wi Sung-lac, right, speaks with Foreign Minister Cho Hyun during a Cabinet meeting, held alongside an emergency meeting on economic review, at Cheong Wa Dae in Seoul, Monday. Joint Press Corps
By Yi Whan-woo
Wi predicts supply chain uncertainty to persist
Shipping through the Strait of Hormuz is not proceeding smoothly despite a conditional ceasefire agreement reached between the United States and Iran, National Security Adviser Wi Sung-lac said, Friday.
“Supply chain uncertainty is expected to continue for the time being,” Wi added during a press briefing.
Wi noted that the number of vessels passing the vital waterway — one of the world’s most critical energy chokepoints and a focal point during the U.S.-Israel war on Iran — does not appear to have increased significantly compared to during the war.
“Not many ships are attempting to pass through right away, and the overall atmosphere is one of watching how the situation develops and responding accordingly,” he said.
Meanwhile, three supertankers — one Liberia-flagged and two China-flagged — passed through the strait, Saturday, according to Reuters.
The passage marked what appeared to be the first vessels to sail out of the area since the ceasefire deal on Tuesday and following peace talks that began Saturday, Reuters reported.
About 70 percent of Korea's imported crude oil passes through the strait. Similarly, the country relies on the Middle East for roughly 70 percent of its naphtha imports.
To address this, Wi said, “We will continue efforts to find alternative supply sources for crude oil and naphtha.”
He also said the government is “continuing communication with relevant countries to ensure the safety of all vessels and crew” for 26 stranded ships linked to Korean businesses.
International coordination efforts, led by the United Kingdom and France, to ensure the safe passage of ships through the strait are gaining momentum, according to Wi.
“We’re attending relevant meetings to assess developments and review possible roles Korea may play,” he said.
He added, “We will also carefully consider practical measures by taking into account a range of factors, including the safety of international sea lanes, the South Korea-U.S. alliance, security on the Korean Peninsula, and relations between Iran and other Middle Eastern countries."