Analysis: Iran Conflict Drives Restructuring of Global Energy Order

The New York Times published an analysis on the 16th stating that the Iran conflict has triggered “irreversible” changes and is accelerating the reshaping of the global energy order. According to the article, during the Iran conflict, oil and gas transportation in the Middle East was severely obstructed and international market prices soared. From the Gulf region to the Americas, energy-producing countries are racing to consolidate or strengthen their dominant positions, while energy-importing countries are striving to reduce dependence and increase supply. The article also notes that in regions such as Asia and Europe, countries dependent on energy imports have been heavily impacted and are urgently seeking alternative energy sources. For example, in South Korea and Japan, the consumption of non-clean fuels such as coal has increased in recent times. However, in the long run, the energy shock caused by the Iran conflict may accelerate the world’s transition to renewable energy such as solar, wind, and nuclear power. Compared to the last round of energy shock caused by the escalation of the Ukraine crisis in 2022, advances in battery technology and energy efficiency have improved the feasibility of the energy transition.