Gulf nations plan new pipelines to bypass Hormuz

DP World plans two UAE terminals outside the Strait of Hormuz, expanding capacity and providing a hedge against Hormuz disruption by linking Al Rugaylat and Dibba to its inland network for flow between the Gulf and Indian Ocean coasts. The move mirrors a broader regional shift as Gulf states invest billions in pipelines and alternative routes to reduce dependence on Hormuz, with at least seven major projects either under construction or in planning. Saudi Arabia’s East-West pipeline and the UAE’s Fujairah expansion are key components of this strategy, intended to reroute oil to Red Sea, Suez Canal, and Gulf of Oman gateways and lessen exposure to Hormuz risks. Iraq and other Gulf producers are also pursuing export routes that bypass Hormuz, acknowledging the vulnerability of a single chokepoint to political and military shocks. While these alternatives offer resilience, some routes may entail longer and costlier shipments, and even non-Hormuz paths face geopolitical tensions such as Houthi actions. Taken together, the developments signal a coordinated push to diversify energy logistics and strengthen regional and global supply-chain security.