Sulfuric acid is the most produced industrial chemical in the world. If you don’t know this, you’re in good company – because few substances are as crucial for modern industry and yet so little ingrained in public awareness as sulfuric acid. A permanent closure of the Strait of Hormuz would disrupt the global sulfuric acid supply to an extent that would severely impact almost everything, from electronics to pharmaceutical manufacturing.
The connection to the Strait of Hormuz is indirect, but no less effective: sulfuric acid is produced in large quantities as a byproduct of petroleum refining and natural gas desulfurization. The Gulf states produce significant amounts of sulfur as a byproduct of their oil and gas processing.
Saudi Arabia’s major oil producer, Saudi Aramco, is therefore one of the world’s largest sulfur exporters. If this production ceases or if exports can no longer pass through the Strait of Hormuz, a significant portion of the global raw sulfur supply, from which sulfuric acid is produced, will be missing.
The Broad Application of Sulfuric Acid Evokes Grim Preoccupations
What is sulfuric acid used for? The list is alarmingly long: Phosphate fertilizers cannot be produced without sulfuric acid. This would immediately exacerbate the already dramatic fertilizer crisis. Sulfuric acid is also required for pickling metal surfaces in steel production.
Battery manufacturing, especially for lead-acid batteries in vehicles and emergency power systems, is directly dependent on an adequate supply of sulfuric acid. Pharmaceutical active ingredients, dyes, detergents, and the entire petrochemical industry also use sulfuric acid as a basic raw material.
A supply shock in sulfuric acid would therefore have a toxic effect across all value chains. The electronics industry – already plagued by supply chain crises for years – would also face rising raw material costs for circuit board production and battery cells.
Automobile manufacturers would neither be able to refine steel affordably nor procure batteries at market prices. Pharmaceutical companies would have to limit their production volumes if insufficient sulfuric acid is available. This would create dangerous bottlenecks in countries with already fragile medication supplies.
After Six to Nine Months, Things Get Serious
Within the first three months after a permanent closure of the Strait of Hormuz, the effects on sulfuric acid supply will already be noticeable but largely manageable, as existing stockpiles and alternative production sources in Europe, Canada, and Australia can cushion the bottleneck in the short term.
After six to twelve months, however, the shortage will reach a critical threshold, making production cutbacks in the chemical and steel industries unavoidable. It is obvious that prices will explode in this scenario.
Socially, these consequences, through higher prices for everyday goods from car batteries to medicines, will affect more or less everyone equally, because sulfuric acid is the invisible glue of industrial society, and for this universal binding agent, the Strait of Hormuz is one of the most important supply routes.
