In an interconnected world, events in one region can have a significant impact on the entire global economy.
In March ’2026, the International Energy Agency‘s (IEA) Executive Director, Fatih Birol, described the recent effective closure of the Strait of Hormuz as ‘the largest supply disruption in the history of the global crude oil market.’ Tanker crossings declined to near zero. Around 1/3rd of the world’s seaborne crude, besides 1/5th of its liquified natural gas (LNG) supplies, was cut off or compelled to reroute.
These disruptions may have far-reaching impacts. These may range from energy outages in Pakistan to rising food prices in the UK. Furthermore, rapid inflation in Colombia.
The current crisis has brought into sharp focus the fragility of a global trade system. That’s reliant on just-in-time logistics and concentrated supply routes. This system may be efficient. It’s based on an assumption of stable conditions. It would be slow to adapt when such conditions deteriorate.
Recent geopolitical shocks are now compelling businesses to recalibrate the balance between efficiency, redundancy, and continuity. Global supply chains need more nodes to create lasting resilience, as a result. The countries that have invested in infrastructure to fulfil that role may play an increasingly important part in global trade.
Regional trade hubs
As geopolitical fragmentation accelerates, countries besides global infrastructure hubs, such as Oman, are now becoming increasingly important. This role is in diversifying global logistics, energy, and finance as well as data flows. They tend to complement existing trade hubs. They add extra capacity into the system. This way, logistics, energy, and finance as well as data flows may sustain their functioning. Such measures may be useful, especially when primary routes are disrupted or compromised.
The infrastructure may not be hastily created in response to a crisis. It may require deliberate investment besides diplomacy.
In addition to being used to increase resilience during crises, these complementary infrastructure systems should be integrated into existing supply chains to create economic value during other normal times that move with peace & stability.
This is likely to create global trade models economically sustainable in the long term.
Oman’s infrastructure investment
Oman emerged as a crucial alternative to the choke point of the Strait of Hormuz. However, this transformation didn’t occur overnight. This infrastructure already existed through long-term investments in seaports, logistics, industrial zones, airports, and road connectivity, as well as digital infrastructure. This crisis only revealed and activated the strategic value of these long-term investments.
During the current conflict in the Middle East, Oman’s seaport authorities at Duqm and Sohar, as well as Salalah, were capable of receiving hundreds of additional vessels. This is besides their capability to organise their transit through Omani seawater. Muscat International Airport also witnessed a surge in passenger traffic. The increase was mostly caused by Gulf travellers who opted to use the Omani capital as a transit hub. Despite the increased volumes, operations remained, whilst flights continued to operate on schedule without reported disruptions.
Many years of investment in Oman’s logistics infrastructure are increasingly translating into tangible regional trade flows. Neighbouring Dubai recently released the first figures from its ‘green corridor’ with Oman. This was launched in March ’26 to facilitate cargo diverted to Omani airports besides seaports. Customs declarations surged from the neighbouring United Arab Emirates Dirham (AED) 1 billion (USD 272 million) to over AED 8 billion (USD 2.2 billion).
The United Arab Emirates (UAE) city of Sharjah also launched a logistics corridor. It linked the emirate with Oman seaports through land border crossings to strengthen supply chain resilience. Meanwhile, the Kingdom of Saudi Arabia (KSA)’s Empty Quarter highway through the Rub’al Khali desert expands cross-border connectivity too. This created significant opportunities around logistics and industrial zones, as well as regional supply chain integration.
These didn’t emerge in the aftermath of recent geopolitical shocks.
