South Korea's dependence on Saudi crude oil grows, supply concerns rise amid Houthi threats
Red Sea transit threats raise concerns over disruptions to South Korea's Saudi crude imports We also look at alternative routes and stockpiled oil 대응
Concerns are growing that South Korea’s imports of Saudi Arabian crude oil could be disrupted as Yemen’s Houthi rebels threaten traffic through the Red Sea.
South Korea has significantly increased imports of Saudi crude oil even after the Middle East crisis in February, and in the first half of this year, Saudi Arabia accounted for the largest share among major importing countries. Saudi crude enters via a route through the Red Sea and the Bab elMandeb Strait, and if this route is blocked, an alternative path must be used, increasing both transportation time and costs.
The government has explained that there are no problems with crude oil supply and demand at present, and said it has secured sufficient import volumes for July and August. However, if the situation in the Red Sea worsens, other routes such as the Suez Canal will need to be considered, and if necessary, emergency responses such as using stockpiled oil could come back into discussion.