Despite Hormuz disruptions, Kuwait increased oil exports by 19.5%

Reuters reported that Kuwait raised its average crude oil production to about 1.971 million barrels per day in July, an increase of about 19.5% compared to June. The rise indicates continued oil flow through the Strait of Hormuz despite disruptions, with some tankers turning off location transponders. Kuwait is the fifth-largest oil producer in OPEC. Meanwhile, OPEC+ raised production targets by 188,000 barrels per day starting in September. Oil prices saw sharp increases in July. The report may explain Trump's cancellation of the strike on Iran.

The Reuters news agency reported today (Sunday) that Kuwait raised its average crude oil production to about 1.971 million barrels per day in July, compared to about 1.65 million barrels per day in June – an increase of about 19.5%. The rise indicates continued flow of crude oil from Gulf states through the Strait of Hormuz, despite disruptions caused by escalating tensions with Iran since late February. Some oil tankers turned off their location transponders during transit to reduce the likelihood of detection. Kuwait is the fifth-largest oil producer in OPEC, with a production capacity of about 3 million barrels per day. The increase coincides with a gradual improvement in oil shipments from the Gulf, and in addition, the OPEC alliance announced raising production targets by 188,000 barrels per day starting in September. Oil prices recorded strong gains in July, the largest since March, amid supply concerns. The report may provide an explanation for Trump's cancellation of the strike on Iran, as one of his key demands was the opening of the strait.