U.S.-Iran Conflict: Drone Attacks Target Gulf Energy Infrastructure as Global Shipping Costs Soar

The regional conflict between the U.S. and Iran has expanded into a drone-based proxy campaign targeting Gulf energy infrastructure. Saudi Arabia and the UAE reported intercepting several drones near critical oil facilities over the weekend, with Yemen’s Houthi rebels claiming responsibility. While no casualties were reported, the incursions caused minor operational disruptions and further destabilized global energy markets. Oil prices have surged 50% since the start of the conflict, nearing $98 per barrel, as the maritime blockade in the Strait of Hormuz continues to paralyze fertilizer shipments and essential trade. On the diplomatic front, President Trump is preparing for a high-stakes visit to Beijing, where he is expected to urge Chinese officials to leverage their position as Iran's primary oil buyer to facilitate a deal. Meanwhile, Tehran has intensified its rhetoric against European powers, warning the UK and France against deploying warships to the region. The humanitarian situation continues to deteriorate, with 15,000 civilian injuries reported in Iran and half a million displacements in Lebanon, prompting nations like the Philippines to activate emergency evacuation protocols for overseas workers. In a recent interview, Israeli Prime Minister Benjamin Netanyahu signaled that operations against Iranian hardliners and proxy depots would continue, emphasizing close coordination with the Trump administration. Despite the lack of new direct military engagements in the last 24 hours, the escalation of asymmetric warfare and the mounting economic pressure on global shipping insurance, which has risen 300%, suggest a prolonged period of regional volatility.