The rapid escalation of military conflict in the Middle East has forced a massive logistical restructuring of regional crude exports,. Simultaneously, extreme weather events in Europe are severely disrupting traditional inland energy delivery networks.
Global market
Iran’s Islamic Revolutionary Guard Corps confirmed targeted strikes against United States military bases and a branch of the Kuwait National Petroleum Company located in Kuwait. In response to this severe regional escalation, the United States is actively deploying additional fighter jets and aerial refueling aircraft to the Middle East. To circumvent the paralyzed maritime routes, Iraq is mobilizing a massive truck fleet, successfully rerouting approximately 25% of all Middle Eastern oil supplies overland through Syria.
Meanwhile, extreme heatwaves in Germany and France are drastically lowering river water levels, prompting severe freight volume restrictions that are critically disrupting inland energy deliveries and power generation across Europe. Additionally, Canada announced a new transcontinental pipeline project to connect its eastern and western provinces, aiming to reduce its reliance on the United States, which absorbed 63.4% of Canadian crude exports in 2025 from its 158.9 billion barrels of reserves in Alberta.
Russia & CIS
Domestic infrastructure development is shifting to regions with excess power capacity to optimize energy allocation. VTB Senior Vice President Dmitry Sredin announced that the construction of new data centers will relocate from Moscow to energy-surplus territories, projecting that the Urals market segment could expand by three to four times by 2030.
Security risks surrounding regional energy assets remain critically high. Luhansk People’s Republic Parliament Committee Chairman Alexander Krierenko warned that the targeted assassination of an engineer at the Zaporizhzhia NPP risks establishing a dangerous new precedent for the physical security of nuclear personnel if ignored by the international community.
Armenia
In response to the severe logistical volatility across the Middle East, the EAEU is rapidly accelerating its macroeconomic integration efforts to protect regional supply chains. Eurasian Economic Commission Board Member for Industry and Agro-Industrial Complex Gohar Barseghyan confirmed the operational expansion of free trade zones aimed at ensuring resource and food availability for member states.
For Armenia, relying on these EAEU structural mechanisms is increasingly vital as the security architecture along its southern transit routes collapses,. With Iran directly striking Kuwaiti petroleum assets and Iraq forced to truck 25% of regional oil exports through Syria, the resulting logistical shockwaves heavily constrain wholesale fuel availability,. This environment guarantees sustained inflationary pressure on retail gasoline, diesel, and natural gas prices across Armenian domestic markets.