Iraq to Begin Small-Scale Crude Exports via Syria’s Baniyas Port in July

Iraq is preparing to export crude oil and naphtha through Syria's Mediterranean port of Baniyas, expanding an emergency workaround that emerged after the closure of the Strait of Hormuz disrupted the country's primary export routes. Initial crude exports through Syria are expected to begin as early as July at around 50,000 barrels per day.

Fuel oil shipments are already moving by truck to Baniyas for export to markets in Europe and Africa.

Iraqi officials say the Syria export strategy will remain in place even after shipping through Hormuz returns to normal. 4 million barrels per day historically flowing through southern Gulf terminals. Syria is expanding facilities at the port of Baniyas and preparing additional unloading infrastructure to handle the growing volumes.

The move is part of a broader trend emerging across the Middle East. Saudi Arabia relied heavily on its East-West pipeline during the Hormuz disruption. The UAE is pushing ahead with plans to expand export capacity outside the Strait.

Iraq is exploring multiple routes through Syria and Turkey. While markets initially celebrated the reopening of Hormuz, reality quickly intervened. Negotiations scheduled for Friday in Switzerland were postponed before they even began, the IRGC warned vessels against entering the Strait on the grounds that Washington was already violating the newly signed agreement, and tanker operators remained reluctant to rush back into the world's most politically sensitive shipping lane.

The result is a region increasingly focused on redundancy.