Bottlenecked at the Strait of Hormuz and the cost to global trade | Commercial Awareness Compass #71

A new war in the Middle East has sent the global trading system into shock. As sustained fighting threatens to keep the Strait of Hormuz closed, the commercial world is bracing for the impact of high energy prices and new trading challenges. The sudden conflict is forcing businesses to reevaluate their supply chains and try to get out of existing contracts to avoid the shock of sudden price hikes.For aspiring commercial lawyers, there are some key questions you have to understand. Why is the closure of a single waterway freezing international commerce? How can businesses protect themselves from disadvantageous contracts when war breaks out? And will the current energy crisis permanently accelerate the global shift toward renewable power?The Commercial Awareness Compass by AllAboutLaw, helps you build your commercial awareness every week with a beginners, intermediate and advanced breakdown of a story from an expert lawyer and trainee solicitor host. This story was taken from a live conversation a few months ago. If you don't want to wait for these conversations, head over to the Commercial Awareness Compass to get them straight to your inbox each week. 🚀 Boost your commercial awareness: https://www.allaboutlaw.co.uk/commercial-awareness-compass