Shane Smith Has Questions Oil, War, and Global Power ft. Amos Hochstein | Shane Smith Has Questions
Mar 12, 2026
Amos Hochstein, energy and geopolitical expert who served in senior US energy diplomacy roles, explains the Strait of Hormuz crisis and massive oil shortfall. He describes immediate economic ripple effects on gas, food, and shipping. He connects energy shocks to AI, data centers, and the US‑China tech race, and outlines possible geopolitical winners and war outcomes.
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Strait Of Hormuz Caused The Biggest Oil Shortage Ever
- The Strait of Hormuz shutdown is creating the largest oil shortage in history by removing roughly 10–16 million barrels per day from markets.
- Amos Hochstein explains ~15–20% of daily global oil flows and 20% of LNG transits are effectively halted, forcing producers to cut output and fill storage.
Storage Constraints Force Producers To Curtail Supply
- Producers are rapidly cutting output because storage fills when exports stop, forcing nations like Kuwait, Iraq, and Qatar to reduce production.
- Hochstein gives concrete examples: Kuwait cut ~50%, Iraq down to ~70%, and Qatar halted gas exports due to force majeure.
Supply Shock Rapidly Spiked Prices And Fuel Shortages
- Missing roughly 10 million barrels per day pushed oil from about $60 to ~$96 and gasoline in the U.S. from $2.80 to $3.65 in days.
- Hochstein links that jump to immediate shortages in jet fuel and diesel and cascading price effects.