BRACE FOR IMPACT: Marcos Calls Emergency Meet as Oil Prices Spike

By Francis Allan L. Angelo

President Ferdinand Marcos Jr. has called an emergency meeting with his economic team to assess the potential impact of Iran’s threat to close the Strait of Hormuz, as oil prices spiked globally on Monday.

Presidential Communications Office Undersecretary Claire Castro said the meeting will allow Cabinet officials to present policy recommendations and economic scenarios to cushion the fallout from possible global energy supply disruptions.

“I would like to inform you that the economic team will have a meeting with the President… I can provide you with the details of whatever plans there are for tomorrow,” Castro told reporters.

Iran’s parliament over the weekend approved a measure to close the strategic waterway, prompting a sharp reaction in global oil markets and fears of escalating conflict in the Middle East.

Brent crude briefly surged past USD 81.40 per barrel—its highest in five months—before settling around USD 78, up 1.4% on the day.

The Strait of Hormuz handles about 20% of the world’s oil flows, including Iran’s own exports, which reached 1.5 million barrels per day in the first quarter of 2025, according to the U.S. Energy Information Administration.

Energy analyst Vandana Hari called the closure threat “absolutely minimalistic,” warning that it would inflict severe self-harm on Iran.

“So very, very little to be achieved, and a lot of self inflicted harm that Iran could do,” Hari told CNBC.

Andrew Bishop of Signum Global Advisors said Iran is unlikely to jeopardize its oil trade with China, which imported 1.8 million barrels per day from Tehran last month.

Disrupting the strait would “put a target” on Iran’s oil infrastructure, he warned, especially as tensions with the U.S. and Israel escalate.

The Supreme National Security Council, not parliament, holds final authority over the proposed closure, according to Iranian reports.

S&P Global Commodity Insights estimated that a closure could block over 17 billion barrels of oil from Gulf producers, including Saudi Arabia, the UAE, Kuwait, and Qatar.

Qatar’s liquefied natural gas exports—roughly 77 million metric tons annually—could also be halted, impacting Asian and European markets.

The Commonwealth Bank of Australia noted that regional pipelines offer only 2.6 million barrels per day of alternate capacity, far short of the estimated 20 million barrels that pass through the strait daily.

U.S. Secretary of State Marco Rubio urged Beijing to dissuade Tehran from the move, calling it “economic suicide.”

“I encourage the Chinese government in Beijing to call them about that,” Rubio said Sunday on Fox News. “It would hurt other countries’ economies a lot worse than ours.”

Despite the threats, the Joint Maritime Information Center confirmed that U.S.-associated ships continue to transit the strait without interference.

“Iran has little to gain and too much to lose,” Hari said, reflecting a broader consensus among energy and security experts.