Australia does not want to see the United States, Israel and Iran war in the Middle East continue to escalate, Foreign Minister Penny Wong told her US counterpart on Friday morning, discussing the conflict and Iran's escalating retaliatory action in response to initial strikes by the US and Israel in February.
The diplomatic call between Wong and US Secretary of State Marco Rubio underscores growing concerns about regional instability and its cascading effects on global supply chains. The pair discussed how the choking of the Strait of Hormuz, a key route for around a fifth of the world's oil and gas exports on Iran's southern border, was impacting the global economy and energy security.
Wong said she and Rubio discussed the conflict and the Iranian regime's escalating reprisal attacks, particularly on civilian and energy infrastructure, and expressed Australia's condemnation of Iran's deliberate attacks on merchant vessels in and around the Strait of Hormuz. The frequency and severity of these attacks have created a dangerous environment for international shipping.
Iran's actions have triggered severe global energy shocks, causing oil and fuel prices to surge, which is putting pressure on households, industries and supply chains. This economic spillover reaches far beyond the Middle East. Traffic through the Strait has plunged 95 percent since the United States and Israel launched a war on Iran three weeks ago, with major repercussions for global energy markets.
Wong and Rubio agreed that the international community must keep working together to ensure critical waterways are not held hostage by the Iranian regime. Yet there is a parallel tension here. While diplomatic pressure offers a path forward, no broad international consensus has emerged on how to restore safe passage through one of the world's most critical chokepoints.
Wong expressed concern about Iran's reprisal attacks on civilian and energy infrastructure and said Australia was undertaking diplomatic efforts with engaging key international counterparts, including through Australia's work with the International Maritime Organisation, and agreed that the international community must keep working together to ensure critical waterways are not held hostage by the Iranian regime.
Australia's approach reflects a pragmatic balancing act. The nation depends heavily on stable global energy markets and free shipping lanes, yet remains committed to working within multilateral frameworks rather than military escalation. Prime Minister Albanese said Australia would continue to monitor and call for a de-escalation, with the freedom of navigation a fundamental principle.
The blockade has prompted sharply divergent responses from Australia's traditional allies. UK Prime Minister Keir Starmer said Britain would not be drawn into the wider war, with analysts noting most US allies opposed the war to begin with, making them feel relatively less inclined to provide support. European nations have similarly resisted pressure to join military coalitions, focusing instead on diplomatic solutions.
For Australian exporters and energy importers, the stakes are concrete. Elevated fuel costs ripple through manufacturing, transport, and agriculture. Yet the government faces constraints on its influence. Australia cannot unilaterally reopen the strait or force regional de-escalation. Its leverage lies in diplomacy and consensus-building within international bodies, which is precisely where Wong is placing Australia's effort.