'Some days even more oil than before the war’: Vance says Hormuz oil flow has fully recovered

WASHINGTON, DC: Vice President JD Vance said on Tuesday, June 30, that oil shipments through the Strait of Hormuz have returned to pre-war levels following the US-Iran memorandum of understanding, arguing that the agreement has helped stabilize global energy markets even as overall shipping traffic remains lower than before the conflict.

Speaking on ‘The Michael Knowles Show’, Vance said the reopening of the strategic waterway has already contributed to falling oil prices while defending President Donald Trump's approach toward Iran. 

JD Vance says oil traffic through the Strait of Hormuz has recovered 

During the interview, JD Vance said oil exports moving through the Strait of Hormuz have largely returned to where they stood before the conflict began.

"The strait is open in the sense that we're seeing more oil come out of the strait and some days even more oil than came out before the war even started," Vance said.

While acknowledging that overall maritime traffic has not fully recovered, he stressed that energy shipments have rebounded much faster than other commercial vessels.

"What the cynics will say is, 'well, if you look at the number of ships that are trafficking, that's actually down from the pre-war start,' but they're mostly talking about cargo ships and other vessels."

"At least so far, what we've seen is the oil traffic has reached its pre-war height," he added.

According to Vance, the recovery in oil shipments reflects a different trend from overall shipping activity, with oil tankers returning to the route sooner than container ships and bulk carriers.

Before the conflict, roughly 20 million barrels of crude oil and petroleum products passed through the Strait of Hormuz every day, accounting for around a quarter of the world's maritime oil trade.

Oil markets rebound as Iran resumes energy exports

Vance linked the increase in oil shipments to the reopening of the Strait of Hormuz under the US-Iran memorandum of understanding.

As part of the agreement, Iran was allowed to resume selling energy on the global market after the United States waived oil sanctions and lifted its blockade on Iranian ports.

The memorandum also led to Tehran reopening the strategic waterway after it had remained closed for months during the conflict.

Although shipping companies continue to exercise caution with non-energy cargo, oil tankers have returned in greater numbers.

The Strait of Hormuz remains one of the world's most important energy routes, serving as the main export corridor for oil producers including Saudi Arabia, Iraq, Kuwait, the United Arab Emirates, and Qatar.

According to Vance, the renewed flow of oil has already had a visible impact on fuel prices.

Following a sharp increase during the conflict, Brent crude was trading at roughly $73 per barrel on Tuesday, while West Texas Intermediate stood at about $70 after previously climbing to around $120 during the war.

"The world oil economy is kind of getting back into gear, that's going to take a little bit of time, but you've already seen the prices come way down," Vance said.

JD Vance criticizes Republican voices calling for continued conflict with Iran

Alongside discussing energy markets, Vance also addressed criticism from fellow Republicans who opposed the memorandum of understanding and favored continued military action.

He said his "biggest frustration" with those critics was that they failed to recognize how rising energy prices were shaping public opinion.

"They don't realize how completely they were losing the political argument because of what was happening to world energy markets," Vance said.

He argued that some of the president's critics focused too heavily on military action without explaining what they hoped to achieve.

"Their attitude is just drop bombs and drop bombs and drop bombs, and they can't really articulate to what end," he said.

Vance contrasted that approach with President Donald Trump's strategy, saying military action should only be used when it serves a clear objective.

"What the President is saying is 'I'm willing to drop bombs,' and he's clearly shown that he's willing to drop bombs, but only if it serves an objective."

The vice president said the current strategy allows the administration to reduce pressure on the global economy while preserving its negotiating position.

"So what he's doing right now is taking a lot of pressure off of the world economy ... while not giving up a single one of his gains, and while preserving a lot of optionality," Vance said.

"I think that's a very good place for us to be in, but there's uncertainty because no one can be certain what the Iranians want to do," he added.