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FOREIGN AFFAIRS

UN chief urges Iran and US to ‘urgently resume negotiations’ as Gulf strikes escalate

By R Anil Kumar

New York/Bengaluru. Renewed strikes and counterstrikes between Iran and the United States in the Gulf region have raised fears of a return to all‑out war, with Washington denying Tehran’s claim that it had closed the crucial Strait of Hormuz on July 12, 2026.

The Strait of Hormuz which separates the United Arab Emirates and Iran is a strategically important shipping route. (Image Source: NASA)

The US said it had struck around 140 targets on Saturday, July 11, in response to the Iranian military striking a vessel which was navigating through the international waterway.

Tehran reportedly launched a series of attacks targeting a US base in Jordan on Sunday, while the United Arab Emirates, Bahrain, Oman and Kuwait said they had come under attack by missiles and drones from Iran.

‘Deeply concerned’

UN Secretary-General António Guterres said he was “deeply concerned by the serious escalation,” urging an end to all attacks.

A statement issued by his Spokesperson called on all combatants “to exercise maximum restraint, avoid further escalatory action and take immediate steps to de‑escalate.”

The Secretary-General reiterated that a return to full-scale hostilities would have catastrophic consequences “for the peoples of the region” and beyond, as well as the global economy.

The uptick in fighting and end to the fragile ceasefire negotiated last month have seen energy prices rise while shipping through the strait between Iran and Oman has once again ground to a halt.

Freedom of navigation call

This leaves around 6,000 seafarers still stranded aboard scores of vessels. The head of the UN International Maritime Organization (IMO) called for all transit through the strait to be avoided, saying earlier this week that this should continue “until the necessary safety conditions are in place.”

UN chief Guterres added that “full freedom of navigation” must be restored in the Strait of Hormuz, where three merchant ships were reportedly struck the previous Tuesday, despite the 17 June Memorandum of Understanding between Tehran and Washington.

“The Secretary-General urges Iran and the United States to urgently resume negotiations and to address outstanding issues through diplomacy,” said UN Spokesperson Stéphane Dujarric.

Huge risk, warns Guterres

UN Secretary-General António Guterres said the resumption of strikes and counterstrikes between the United States and Iran in the past 24 hours were “alarming” and risked derailing diplomatic progress made since a ceasefire framework was agreed in April.

“A return to full-scale hostilities would have catastrophic consequences for the peoples of the region, for international peace and security, and for the global economy as a whole,” said UN Spokesperson Stéphane Dujarric.

“These reckless attacks have again placed innocent seafarers in grave danger. No seafarer should have to risk their life simply for doing their job,” Mr. Dominguez said, as he warned flag States, shipowners and operators not to expose seafarers to “unnecessary danger” by transiting the Strait.

Why this matters:

Renewed Hormuz attacks trigger global energy security concerns

Guterres warns of catastrophic consequences for region and global economy if full blown US-Iran war resumes

Thousands of seafarers remain stranded amid shipping disruptions

UN warns prices and supply volatility may worsen

Heatwaves could intensify energy demand and infrastructure strain

Some 6,000 seafarers remain stranded in the channel on hundreds of vessels which used to transit at a rate of around 130 a day.

That number is vastly reduced today, although shipping levels picked up before the latest escalation, in line with an agreement on a temporary ceasefire – part of a memorandum of understanding – last month between the United States and Iran.

Responding to the latest escalation, the UN economic commission for Europe, UNECE, said that the already challenging situation for countries which rely on energy from the Gulf was set to continue, after more than 100 days of disruption.

“We can expect prices and price volatility to remain high and supply disruptions – especially in local markets – to continue for the months ahead,” said Dario Liguti, Director of Energy, Housing and Land Management Division at the UN Economic Commission for Europe.

The senior UN economist explained that although a global shortage of fuel and fertilizers has been avoided, the effects of this year’s disruption will still be felt “even if the situation normalizes rapidly”. Strategic oil reserves are also at their lowest levels for decades, Mr. Liguti stressed.

If the instability does continue, we should get ready for another rise in prices and a larger-scale raw material shortage,” he said.

Heatwaves fuel uncertainty

A further complication compounding these shocks are this summer’s extreme heatwaves, fuelled by a strong El Niño which is forecast to strengthen in the coming months and “increase energy consumption for cooling, impact energy infrastructure, and affect water availability for power plant cooling”, Mr. Liguti explained

To counter these impacts – including on public transport networks – the UNECE official stressed the need to urgently build resilience to renewed energy shocks, to save energy through efficiency measures, reduce pressure on limited resources by cutting overall energy consumption and stock up on reserves.

“Longer term, we are also seeing renewed interest in many countries in investing in domestic energy production and distribution capacity and renewables,” Mr. Liguti noted.

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