And that’s saying a lot.

Energy bottleneck in Middle East is damaging German economy – Expensive energy, rising prices and disrupted supply chains are all bad news for economic growth. The German government is alarmed by events in the Middle East.

When the US and Israel attacked Iran, the response was not long in coming. Iran is no longer allowing ships to pass through its coastal waters. The Strait of Hormuz, the bottleneck in the Persian Gulf through which 20% of the global oil trade passes every day, is now effectively blocked.

After the attack, the price of oil immediately rose sharply. Prices for gasoline and diesel also skyrocketed at German gas stations. Depending on the region, premium gasoline even went as high €2.50 ($2.89) per liter. The average price for diesel is currently just over €2, which is €0.30 higher than before the attack on Iran.