Summary

• Asia accounts for the bulk of oil flows through the Strait of Hormuz, with China, India, and Japan among the largest recipients.
• Asia’s oil shock exposure is uneven. Developed Asia, supported by stronger buffers and policy space, will see growth ease marginally to 2.1% in 2026.
• Yet developing economies face a larger drag, with South Asia slowing to 5.4% from 6.2%, and India, the Philippines and Indonesia experiencing growth downgrades.

By Deepali Bhargava, Regional Head of Research, Asia-Pacific

Asia and oil - uneven exposure to energy shocks

Asia accounts for the bulk of oil flows through the Strait of Hormuz, with China, India, and Japan among the largest

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