World Leaders Weigh Tapping Oil Reserves Amid Iran Conflict

Global leaders are hesitant to release strategic oil stockpiles despite spiking energy prices.

Published on Mar. 10, 2026

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A widening war in Iran has disrupted global oil supply, sending prices soaring. While countries around the world hold vast emergency oil reserves, global leaders have so far been reluctant to tap into them, citing concerns over the unpredictable duration of the conflict and the need to maintain a buffer. The International Energy Agency and G7 nations have discussed the possibility of coordinated action, but no decisions have been made yet to release strategic stockpiles.

Why it matters

The decision to tap strategic oil reserves is a complex one with far-reaching implications. Flooding the market with new supply could help stabilize prices, but countries are wary of depleting their emergency buffers if the conflict drags on. Coordinating a global response also requires careful consideration of each nation's energy security needs and the potential ripple effects on the international oil market.

The details

Since the outbreak of war in the Middle East on February 28, the flow of oil tankers through the Strait of Hormuz has been severely disrupted, cutting off a vital passageway for a large portion of the world's oil supply. This has caused Brent crude oil prices to surge nearly 65% to around $120 per barrel. Countries like the U.S. maintain massive emergency oil reserves that can be tapped in times of crisis, but leaders have so far been reluctant to do so, citing concerns over the unpredictable duration of the conflict and the need to preserve a buffer in case the situation worsens.

  • The war in Iran began on February 28, 2026.
  • Oil prices have risen nearly 65% since the start of the conflict.

The players

Donald Trump

The President of the United States, who has downplayed the idea of tapping the U.S. Strategic Petroleum Reserve.

Roland Lescure

The French Finance Minister, who chaired a G7 meeting on the issue and said the group is "ready to take necessary and coordinated steps" to stabilize markets if needed.

Fatih Birol

The executive director of the International Energy Agency, who participated in the G7 meeting and noted the "significant and growing risks for the market."

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What they’re saying

“The key question on drawing down these reserves remains one of, 'How long will this conflict last?' And, more importantly, 'How long with the Strait of Hormuz remain blocked?'”

— Tom Seng, Energy finance professor at Texas Christian University (wbal.com)

“The price is up but it could get worse. What happens if this drags on for two, three months? Then you run into a situation where you lose your buffer.”

— Kenneth Medlock, Senior director of the Center for Energy Studies at Rice University (wbal.com)

“As long as the market keeps hearing about these possibilities, I think that will have a smoothing effect on the global oil market.”

— Brenda Shaffer, Energy expert and professor at the Naval Postgraduate School (wbal.com)

What’s next

The G7 nations have indicated they are ready to take coordinated action to stabilize oil markets, including potentially tapping strategic reserves, if the situation continues to deteriorate. However, they have not yet made a decision to do so, citing the need to carefully consider the potential duration of the conflict and the impact on their emergency stockpiles.

The takeaway

The decision to tap strategic oil reserves is a delicate balancing act for global leaders, as they weigh the immediate need to stabilize prices against the risk of depleting critical emergency supplies if the conflict in Iran drags on. The fact that they are actively discussing this option, however, suggests they are prepared to intervene if the situation worsens and threatens broader economic stability.