Explainer: Hormuz, oil and nuclear tensions, is Trump out to seize the world’s economic power?

America repeatedly tries to convince the world that Iran’s increasing uranium reserves are a threat to global security. But the real question is whether Washington is afraid only of nuclear weapons or whether it is more afraid of the economic challenge that Iran is gradually posing. Iran is among the few countries which, despite American pressure, did not completely bow down to the dollar-based global system.

If Iran succeeds in taking its oil trade out of dollars, it can deal a severe blow to America’s biggest strength, the “Petrodollar System”. This is the reason why the Iran issue has become not just a nuclear dispute but a fight for economic supremacy.

Why is America afraid of Iran?

America fears that if Iran is successful then many Asian and African countries will also try to get out of the grip of the dollar. This is why Washington wants to maintain pressure on Iran at any cost. Experts believe that this fight has now become not just a military but also a war of economic survival. America understands that if the dollar weakens, its status as a global superpower may also be in danger. This is the reason why the White House keeps an eye on Iran’s every move.

Petrodollar is the real strength of America

Most of the world’s oil is still bought and sold in US dollars. This system makes America the largest economic power in the world. Countries need dollars to buy oil, and this demand for dollars keeps the American economy strong. On the basis of this power, America imposes economic sanctions, controls the banking system and puts pressure on many countries. Experts believe that if the world starts using other currencies for oil trade, the strength of the US dollar may weaken.

China-Russia increased America’s anxiety

This is the reason why America does not want to let the petrodollar system break at any cost. Many economists also call it “economic weapon”. The same power of the dollar works behind America’s military power. If the demand for dollars decreases then the American debt system may also be affected. Therefore, the oil market has not only become the basis of trade but also the basis of America’s strategic strength. China and Russia are continuously increasing trade outside the dollar, which has further increased America’s concern. This is the reason why Washington wants to maintain its influence on oil producing countries.

Why did the Strait of Hormuz become the heartbeat of the world?

About one-fifth of the world’s oil passes through the Strait of Hormuz. This small sea route is considered to be the biggest vein of global energy supply. Iran has a big influence on this. If ever the tension increases and Iran puts pressure on this route, then the oil supply in the entire world may be affected. Due to this, oil prices may reach record levels. This is the reason why America has been maintaining a strong military presence in this region for a long time.

Hormuz became the breath of the world

Washington knows that control over Hormuz means not only maritime security but also influence on the global energy market. If a war-like situation arises here, petrol and diesel may become expensive all over the world. Its impact will be visible from the pockets of the common man to the global market. Many experts call it the “oil artery of the world”. America does not want Iran to use this route as a strategic weapon. On the other hand, Iran has clearly said that if it is attacked, it can increase tension in Hormuz. This is the reason why this area has become the most sensitive marine area in the world.

Is Trump eyeing oil?

Donald Trump has always presented himself as an America First leader. But critics allege that economic interests have been the biggest factor behind his foreign policy. From the Iraq War to Venezuela and now Iran, the politics of oil and resources is visible everywhere. Many analysts believe that the Trump administration not only wants to put pressure on Iran to stop its nuclear program, but also wants to strengthen America’s hold on oil supply and the global energy market.

Trump’s war on oil

This is the reason why every step of Iran becomes not only a diplomatic but also an economic challenge for Washington. Trump knows that if America’s economic strength is weakened if its grip on the oil market weakens. This is why his rhetoric often appears extremely aggressive. Critics call it a new form of “oil diplomacy”. Economic sanctions have emerged as the biggest weapon in Trump’s strategy. America wants Iran to become so economically weak that it cannot challenge in the global oil market. This is the reason why this fight has now become not just a political one but a war of economic control.

Why do we remember Venezuela, Iraq and Libya?

As soon as the issue of Iran comes up, the world starts remembering Iraq, Libya and Venezuela. Iraq once talked about using another currency instead of the dollar in oil trade. Former Libyan leader Muammar Gaddafi used to talk about African gold currency. Venezuela tried to get out of American pressure. Critics say that wherever the American economic system was challenged, some form of interference was seen there. This is why the perception is becoming stronger in many countries that pressure on Iran is not just a security issue but a fight for resources and economic control. Many political analysts believe that the instability in oil producing countries is not just a question of democracy or security.

Big powers want to maintain control over energy

The world’s big powers always want to maintain their hold on energy resources. This is the reason why the issue of Iran is no longer just a regional dispute in the eyes of the whole world. The debate is also intensifying on social media and international forums whether countries are being pressurized for economic interests. This is the reason why every strategy of America is now being viewed with suspicion.

Iran has become not just a country, but a symbol

Today Iran is no longer just a country in the Middle East. It has become a symbol of those countries which want to adopt an independent economic and political path despite American pressure. China, Russia and many countries of the BRICS group are gradually taking steps towards reducing their dependence on the dollar. If Iran does not succumb to American pressure, it may signal to other countries of the world that ways can be made outside the dollar system. This is what troubles American strategists the most.

Iran became the symbol of resistance against USA

Iran is now becoming not just a nation but a symbol of resistance against American influence. In many countries, people have also started talking about alternative economic system. China and Russia are openly challenging the dollar based system. BRICS group is trying to create a new economic axis. If this alliance becomes stronger then the balance of global power may change in the future. This is the reason why the increasing pressure on Iran is linked to the bigger geopolitical picture of the world.

New World Order vs. American Hegemony

At present the world seems to be divided into two parts. On one side are America and its allies, who want to maintain the existing global order. On the other hand, there are groups like China, Russia, Iran and BRICS, which are talking about a multipolar world. If military or economic pressure on Iran increases further, then this conflict will not remain only between two countries. This could become a direct fight between the new world order and American supremacy. This is the reason why this crisis has become a cause of concern for the whole world. Now the idea of ​​“one superpower” seems to be gradually breaking down in the world.

Many countries are looking for economic partnerships

Many countries in Asia and Africa are also looking for new economic partnerships. Efforts like China’s Belt and Road Project and BRICS Bank are considered part of this change. America does not want its global hold to weaken. Therefore, many people consider the increasing strictness regarding Iran to be a part of this larger conflict. The coming years will decide whether the world will remain under American leadership or will be divided among many powers.

If Hormuz is closed the world will be shaken

Experts believe that if major tension arises in the Strait of Hormuz, oil prices could reach $150 to $200 per barrel. Its impact will not be limited to petrol and diesel only. Inflation may increase across the world, supply chains may break and economic recession may occur in many countries. The situation may become worse for developing countries because energy crisis directly leads to food crisis and unemployment.

Big powers are cautious about Hormuz

That means the Iran-America conflict can shock the economy of the entire world. Asian countries may be affected the most because they import oil on a large scale. In countries like India, the life of common man can be affected due to cost of petrol and diesel. Prices of air travel, transport and everyday items may increase rapidly. Economic instability and political tension may also increase in many countries. This is the reason why the big powers of the world seem to be very cautious about Hormuz.

Trump’s move may cost America too

If America continues to adopt a policy of pressure, it may affect the Western economies themselves. Europe is already struggling with energy crisis and inflation. A large increase in oil prices can create economic instability within America as well. The American public may be troubled by expensive fuel and rising inflation. This is why many experts believe that a more aggressive strategy against Iran can also have the opposite effect. This may also have an impact on electoral politics in America.

Economic recession can shake the stock markets

If oil becomes expensive then public anger may increase against the government. Companies in western countries may also be troubled by rising energy costs. The fear of economic recession can shake the stock markets. This is why many strategic experts are advising diplomatic solutions instead of military confrontation. If the situation worsens, this crisis may prove heavy for America as well.

Is the world preparing to run out of dollars?

There is a continuous discussion among BRICS countries that the use of local currencies should be increased in global trade. China and Russia have already tried to move out of the dollar in many deals. India is also taking steps towards trade in local currency with some countries. If this process accelerates, the dollar’s hold may weaken in the coming years. This is considered to be the biggest threat to America.

Russia is also increasing its distance from the dollar

Many countries believe that excessive dependence on the dollar makes them vulnerable to American pressure. For this reason, work on creating an alternative payment system has been expedited. China is trying to strengthen its currency Yuan at the global level. Russia is also increasing its distance from the dollar in energy trade. If this trend increases rapidly, a historic change may occur in the global economic system. This is why America is looking seriously at every new economic challenge.

What is Iran’s message to the world?

Iran is constantly trying to convey the message that it is not going to bow down to American pressure. Supreme Leader Mojtaba Khamenei has clearly said that Trump will not succeed in his goal. This statement is being considered not only as a political challenge but also as an economic and strategic message. Iran wants to show that control over resources and economic independence cannot remain in the hands of any one power.

Iran did not bow down despite sanctions

Iran is presenting itself as a symbol of “politics of resistance”. Many groups in the Middle East also see Iran as a country standing against American influence. This is the reason why the impact of this conflict was not limited to just two countries. Iran wants to send the message that an independent policy can be adopted despite pressure and sanctions. This is why his rhetoric is becoming increasingly aggressive. The world is now keeping an eye on which direction this conflict will take next.

Iran-America fight for global order

Today the world stands at such a juncture where oil, dollar and geopolitics have become interconnected. This is not just the Iran-America dispute, but a fight against the global system that controlled the world economy for decades. In the coming years it will be decided whether the world will remain in the unipolar American system or new economic powers will create a new balance. Global politics is changing rapidly. Many countries in Asia, Africa and Latin America are now forming new partnerships. America’s old hold was no longer challenged like before. This is why every economic and military crisis is now linked to the global balance of power. Experts believe that the coming decade will decide the direction of the world. This is not just a question of war or peace, but also a fight for economic leadership.

The biggest question still remains

The biggest question is whether America really wants to make the world safe or is it fighting to save and expand its economic empire. Because if tomorrow the world stops trading oil in dollars, then perhaps the entire balance of global power could change. And it is this fear that seems to be the biggest reason behind Washington’s strategies today. The world is no longer the same as before where a single power used to decide everything.

Many new economic and political alliances are emerging rapidly. This is why America looks at every challenge by linking it to its global position. The coming years will decide whether the dominance of the dollar continues or the world chooses a new economic direction. At present it is clear that the Iran crisis is not just an issue of one country but has become a big question for the entire global system.