The Strait of Hormuz crisis drives Gulf countries to accelerate overseas investment in new energy BlockBeats News: On June 1st, Fortune magazine reported that due to Iran's blockade of the Strait of Hormuz and the tense energy supply situation in the Middle East, Gulf countries are accelerating the layout of overseas renewable energy projects to enhance energy security and promote economic diversification and transformation. The International Energy Agency (IEA) stated that the months long Iran conflict has caused one of the largest supply disruptions in the history of the global oil market. Faced with escalating geopolitical risks, Gulf countries such as the United Arab Emirates and Saudi Arabia are increasing their investment in overseas wind power, photovoltaic, and energy storage projects. Recently, UAE's new energy giant Masdar signed a $2.2 billion joint venture agreement with France's Total Energies to integrate their onshore renewable energy businesses in nine Asian countries. At the same time, Abu Dhabi's sovereign wealth fund Mubadala has invested in the US energy management platform Power Factors and the UK's Hornsea 3 offshore wind power project. Data shows that as of January this year, Masdar's global installed capacity of renewable energy has reached 65GW, further increasing from 51GW in 2025, and plans to reach its 100GW target by 2030. However, the Strait of Hormuz crisis is also impacting the Gulf region's own new energy construction. According to Rystad Energy, a Norwegian energy research institution, the import volume of solar modules in the United Arab Emirates decreased from 767MW the previous month to 160MW in March this year, Saudi Arabia decreased from 704MW to 80MW, and Oman dropped to zero. At the same time, due to supply chain disruptions and soaring transportation costs, the 20 foot standard container freight rate on the Shanghai to Gulf and Red Sea route has risen from $980 before the war to $4131, exceeding the peak during the pandemic. Rystad expects that renewable energy projects under construction in the Middle East will face a delay risk of 3 to 12 months. Analysts believe that if the disruption in the Strait of Hormuz continues until the second half of 2026, some new energy projects may be forced to be postponed until 2027, and more capital may flow to overseas markets with more stable supply chains. [Original link]