The International Energy Agency will hold an emergency meeting to discuss releasing strategic oil reserves to address supply disruptions.

The International Energy Agency (IEA) has announced that it will convene a meeting of member countries on Tuesday to discuss whether to release strategic oil reserves to address the risk of global energy supply disruptions caused by the Iran war. IEA Executive Director Fatih Birol stated in a declaration that over 30 member countries will evaluate the current energy supply security situation and market conditions at the meeting to decide whether to release emergency oil reserves to alleviate supply shocks. Member countries of the International Energy Agency mainly come from developed economies in North America, Europe, and Northeast Asia, collectively holding about 1.2 billion barrels of strategic oil reserves. In addition, energy companies also hold around 600 million barrels of industry inventories under government regulatory requirements. Earlier on Tuesday, energy ministers from the Group of Seven (G7) also held a meeting to discuss possible measures to address energy supply disruptions. G7 members include Canada, France, Germany, Italy, Japan, the UK, and the US, which are also members of the International Energy Agency. Sources disclosed to the media that the US side believes that releasing 300 to 400 million barrels of oil reserves through joint action would be appropriate, equivalent to 25% to 30% of the current total strategic reserves. The background of this emergency discussion is the escalation of the situation in the Middle East, causing severe disruptions to global energy transportation. Many oil tankers are concerned about passing through the Strait of Hormuz due to threats from Iran, which is one of the world's most important oil shipping routes. Analysis by consulting firm Rapidan Energy has shown that this conflict has led to one of the largest oil supply disruptions in history. Before the outbreak of the war, around 20% of global oil consumption needed to be transported through the Strait of Hormuz. With shipping blocked, major oil-producing countries in the Gulf region are forced to cut production as crude oil cannot be exported through the waterway. Saudi Aramco CEO Amin Nasser warned on Tuesday that if the Iran war prolongs, it will have "disastrous consequences" for the global oil market and further disrupt energy supply stability.