Geopolitics is complicating the green transition – and China’s moment

The recent escalation in the Middle East has produced an unforeseen winner. The conflict has rekindled worries about logistics and energy security, prompting governments and businesses to reconsider their reliance on fossil fuels and fragile supply routes. This has sped up the move towards renewable energy.The strategic significance of the Strait of Hormuz is well understood. Roughly one-fifth of the world’s oil trade passes through this narrow waterway. Any threat to its operation immediately affects energy prices, investor sentiment and economic planning. The conflict once again shows how fragile the global energy system remains when it depends heavily on a handful of geopolitical chokepoints.