Iraq and Syria have signed an agreement to rebuild a crude oil pipeline connecting the two nations, creating a direct export route to the Mediterranean that bypasses the Strait of Hormuz.
The deal was finalized at a Chamber of Commerce summit in Washington D.C., signaling strong diplomatic support for the infrastructure project from the United States.
The development arrives as maritime security in the Strait of Hormuz deteriorates.
A recent tanker attack in the strait resulted in a fatality, prompting warnings from maritime risk executives about a potential 'worst-case' scenario for global shipping.
By establishing an alternative corridor, Baghdad and Damascus aim to insulate Iraqi oil exports from the geopolitical volatility that has repeatedly threatened transit through the narrow waterway.
This pipeline revival aligns with broader US efforts to reduce Iran's leverage over global energy supplies.