Kuwait failed to export any crude oil for an entire month for the first time since the Gulf War in the early 1990s, according to a ship-tracking firm.
TankerTrackers.com said on X on Tuesday (Korea time) that "Kuwait did not export a single barrel of crude oil during the entire month of April, for the first time since the end of the First Gulf War."
"Kuwait is producing crude oil, part of which is being stored and part of which is being processed into refined products. Some petroleum products have already been exported," the firm said, adding, "However, no crude oil shipments have set sail yet."
The situation appears to have deteriorated to the point where Kuwait's exports have halted entirely as the blockade of the Strait of Hormuz drags on amid the Iran war. Unlike Saudi Arabia and the United Arab Emirates (UAE), Kuwait is located deep inside the Persian Gulf and has no alternative routes, relying entirely on the Strait of Hormuz. The fact that crude oil must be transported via very large crude carriers (VLCCs), unlike petroleum products which are smaller in volume, is also believed to have played a role.
Kuwait also failed to export crude oil during the First Gulf War in 1990-1991. The decisive difference is that during the Gulf War, Iraqi attacks destroyed oil fields and refining facilities, making production impossible, whereas in the current crisis, production capacity is maintained but shipping is impossible.
Asked why Kuwait could not export crude oil, TankerTrackers.com said, "Because of geography," adding, "It is difficult to relocate a country and its oil fields."
Earlier, Kuwait Petroleum Corp. (KPC) sent letters to its contractors on the 16th of last month, notifying them that it was invoking force majeure clauses as the Hormuz blockade made it difficult to ship contracted volumes.
Kuwait is a major oil producer ranked ninth or tenth in the world, producing 2.58 million barrels per day as of last year. Its crude oil reserves stand at approximately 101 trillion barrels, accounting for about 6% of global crude oil reserves. According to the Observatory of Economic Complexity (OEC), a global trade data platform, Kuwait exported $28.8 billion (approximately 42 trillion won) worth of crude oil in 2024.
South Korea is one of Kuwait's major export destinations. Following China, which receives $9.61 billion in exports, South Korea ranked second at $6.64 billion. Japan ($4.86 billion), Taiwan ($3.11 billion) and India ($3.09 billion) followed, highlighting Kuwait's heavy export dependence on Asian countries. From South Korea's perspective, Kuwait ranked as the fifth-largest crude oil supplier last year.
However, industry officials expect the impact of Kuwait's supply disruption on South Korea to be limited, as shipments from the Middle East are already difficult due to the closure of the Strait of Hormuz.
