Kuwait temporarily closed its airspace on Thursday following the Kuwait airspace closure Iran situation that erupted after US strikes on Tehran, with the Gulf state saying it had intercepted ‘hostile aerial targets’ amid what it described as ‘Iranian aggressions’. Bahrain also reported intercepting Iranian aerial attacks, as the conflict between Washington and Tehran spilled rapidly across the wider region.
The sequence of events marks one of the most serious escalations between US forces and Iran in years, drawing in neighbouring states and triggering sharp moves in global oil markets.
Gulf States Caught in the Crossfire
Iran claimed it had ‘struck and destroyed eighteen important targets’ belonging to US forces at Kuwait’s Ali Salem and Ahmad al-Jaber air bases, as well as the Sheikh Issa air base in Bahrain, according to Tasnim news agency, the Iranian state-run outlet. Kuwait reopened its airspace after several hours.
The media adviser to Bahrain’s king said the country’s air defence systems had intercepted and destroyed ‘Iranian aerial attacks.’ Earlier in the day, Bahrain’s interior ministry had urged civilians to head to a safe place. Israel’s Home Front Command also warned of launches from Lebanon toward several communities in northern Israel, widening the theatre of concern beyond the Gulf.
The escalation follows a US attack on multiple targets in Iran at President Donald Trump’s direction, responding to what the White House called ‘Iran’s unwarranted and continued aggression.’ US Central Command said strikes were completed at 9:04 p.m. ET on Wednesday and that forces had hit Iranian military surveillance capabilities, communication systems, and air defence sites. US forces, Central Command added, fired on Iranian targets that ‘posed a threat to US forces and international commercial ships transiting regional waters.’
Strait of Hormuz and the Kuwait Airspace Closure Iran Crisis
The stakes in the waterways surrounding Iran are acute. Iranian state media reported that Iran had targeted US ships in the Strait of Hormuz with missiles and drones. Later, Reuters reported that Iran’s top military command had completely closed the Strait of Hormuz, warning that any vessel attempting to cross would be targeted.
That closure did not come from nowhere. According to the Congressional Research Service, Iranian forces declared the Strait ‘closed’ starting on 4 March 2026, threatening and carrying out attacks on ships attempting to transit. The Strait of Hormuz is one of the world’s most critical shipping lanes, through which a large share of global oil exports pass, meaning its closure has immediate consequences for energy supply and prices far beyond the region.
Trump later told Fox News that he had spoken directly with Iranian officials, who he said asked him to stop the strikes. He said the bombing would stop shortly and that Israel was not involved, but left the door open for further military action. When asked whether a ceasefire was over, Trump reportedly said it was ‘the most violated ceasefire in history.’
Trump’s Warnings and the Push for a Deal
The strikes came after Trump said earlier on Wednesday that the US would hit Iran ‘very hard’ again, escalating his public threats as he pressed Tehran to sign an agreement. Speaking at a White House signing event for the Secure America Act, Trump said: ‘We hit them hard yesterday, and we’re going to hit them hard again today. We’re going to be attacking them and attacking them very hard.’
Trump said Iran ‘should sign the deal’ and that the US wants an agreement ‘that’s meaningful and works.’ He added: ‘We’ll see what happens with the deal.’
Iran’s response was pointed. Ebrahim Azizi, head of the national security commission in Iran’s parliament, wrote on X that ‘this time, the war won’t be limited to the region.’ Earlier, Trump had written on Truth Social that Iran had taken too long to negotiate and would ‘pay the price,’ adding: ‘Iran’s Military is a complete and total mess. Much of it, like their Navy and Air Force, doesn’t even exist anymore.’
Markets React Sharply
Financial markets moved quickly on the news. US crude climbed nearly 2% to $89.72 per barrel and Brent rose 1.3% to $92.74, while the Dow Jones Industrial Average dropped more than 600 points following Trump’s remarks. Trump repeated his assertion that oil prices will return to the levels they were before the war began in February once military operations conclude.
Claudio Galimberti, chief economist at Rystad Energy, told CNBC earlier this week that oil could hit $150 per barrel within the next couple of months if fighting in the Middle East continues, as inventories are now at very low levels.
The initial US strikes earlier in the week were described by Central Command as a response to ‘yesterday’s downing of a US Army Apache helicopter.’ Iran has not directly claimed responsibility for downing the helicopter, and Iranian state broadcaster IRIB reported that no offensive military operations had been carried out in the strait in the previous 24 hours. The Iranian Foreign Ministry did not respond to a request for comment.
