12 1.3 THE IMPACT OF VULNERABILITIES EXTENDS BEYOND ENERGY Beyond fuels, disruption in the Strait of Hormuz demonstrated how disruption to critical energy corridors can cascade into strategic supply chains. Disruption to energy corridors can interrupt refined products and essential industrial feedstocks, with consequences for semiconductors, fertilizers, agriculture and other critical supply chains. For instance, Qatar accounts for around 35% of global helium production, with exports transiting the Strait of Hormuz. Semiconductor manufacturing represents around 20% of global helium demand, creating a direct link between energy chokepoints and technology supply chains. UNATTRIBUTED QUOTE “IMPACT EXTENDS BEYOND ENERGY, IT CAN HIT THE INDUSTRIAL, FERTILIZER AND FOOD CROP SECTORS” When Qatari production halted, helium spot prices doubled, exposing markets such as South Korea. The country produces more than 80% of the world’s AI memory chips and sources around 65% of its helium imports from Qatar. Agriculture experienced similar knock-on effects. Around half of Morocco’s sulfur supply, a critical input for phosphate fertilizer production, transits through the Strait of Hormuz. When Gulf sulfur exports fell by 40%, prices doubled and Morocco phosphate fertilizer output declined by up to 30% in Q2 2026. As the world’s largest phosphate fertilizer supplier, the disruption carried the energy shock directly into global agriculture. Yet the squeeze on agriculture extended well beyond the loss of fertilizer supplies. Higher diesel prices increased the cost of farming, irrigation and transport. They also made biofuels more competitive, encouraging crops to shift from food to fuel production and placing further pressure on food availability and prices.