Iraq routes thousands of fuel trucks through Syria to dodge Strait of Hormuz closure

Iraq has started sending convoys of trucks loaded with crude oil and fuel through Syria, creating an overland workaround after Iran closed the Strait of Hormuz on June 20, 2026.

The move stems from an agreement Iraq’s State Oil Marketing Organization (SOMO) struck with Syrian counterparts back in April 2026. That deal covers crude haulage by truck and a separate commitment to export 650,000 tons of fuel oil per month through Syrian territory.

Why the Strait of Hormuz matters to everyone

Roughly 20% of global oil and gas trade passes through the Strait of Hormuz. Iran announced the renewed closure on June 20, citing violations of a recent peace agreement.

The bigger play: pipelines worth billions

The centerpiece is the Basra-Haditha pipeline, a 700-kilometer project approved in 2024 with an estimated cost of $5 billion. At full capacity, it would move 2.5 million barrels per day from southern Iraqi oil fields to Mediterranean ports in Syria and Turkey, as well as Red Sea terminals in Jordan.

Then there’s the revival of the older Kirkuk-Baniyas pipeline, which would connect northern Iraqi oil fields to Syria’s Mediterranean coast. This project has US and Syrian backing.

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