South Korean President Lee Jae Myung has warned that the conflict involving Iran will keep oil prices elevated and global supply chains under strain for the foreseeable future, instructing his cabinet to treat prolonged energy market disruption as the new baseline and to accelerate emergency economic responses.
Speaking at a cabinet meeting in Seoul on Tuesday, Lee said rising tensions around the Strait of Hormuz — the narrow waterway between Iran and the Arabian Peninsula through which roughly a fifth of the world's traded oil passes — made it difficult to be optimistic. "For the time being, difficulties in global energy and raw materials supply chains and high oil prices will continue," he said, calling for the pursuit of alternative supply chains, industrial restructuring, and a transition away from petrochemical dependence as top-priority national projects. He also urged ministries to move swiftly in deploying a supplementary budget passed in response to the conflict.
South Korea, which relies heavily on Middle Eastern crude imports, is facing immediate logistical pressure. Industry Minister Kim Jung-kwan noted that even if the Strait of Hormuz were to normalise quickly, it would still take approximately 20 days for oil cargoes to reach South Korea from the region. Seven South Korea-bound tankers are currently stuck in Gulf waters, and the government is prioritising securing their passage. In a sign of how severely regional logistics have been affected, Middle Eastern oil producers have begun approaching Seoul about using South Korea's petroleum storage facilities to pre-position crude exports and reduce their own export risks, with Abu Dhabi National Oil Company already holding a joint stockpiling agreement with Seoul.
To secure alternative energy sources, South Korea has dispatched senior diplomats to Algeria, Libya, and the Republic of the Congo, while Presidential Chief of Staff Kang Hoon-sik has travelled to countries including Kazakhstan. Foreign Minister Cho Hyun confirmed that a special envoy to Iran, Chung Byung-ha, remains in contact with senior Iranian officials in Tehran to discuss regional developments, the safety of South Korean nationals, and the passage of vessels. Domestic measures include controls on hoarding of petrochemical feedstocks and medical supplies, expanded financial support for affected businesses, and a revised electricity pricing system designed to shift industrial demand toward solar-heavy midday hours.
The breadth of Seoul's response underscores why this matters beyond the Korean peninsula: South Korea is one of the world's largest oil importers and a major producer of semiconductors, petrochemicals, and steel — industries deeply sensitive to energy costs. A prolonged disruption to Hormuz shipping could ripple through global manufacturing supply chains well beyond the immediate conflict zone. Lee closed the meeting with a direct appeal to the warring parties, urging them to "take courageous steps toward the peace the world so desperately wants."