A man stands before Taiwanese Navy ships anchored at the harbour in Keelung on 11 December 2024. Photo by I-HWA CHENG/AFP via Getty Images. The closure of the Strait of Hormuz following the start of the Iran war has had huge consequences for the global economy. It has cut off essential supply lines for oil and gas, fertilizer and industrial chemicals, prompting the IMF to warn of a possible global recession if the war does not abate.