Escalating Iran-Gulf Conflict Threatens Regional Economies and Global Energy Security.

The attacks, which have targeted industrial zones in the UAE, have shifted initial shock in Gulf capitals to anger. The Gulf Cooperation Council (GCC) has condemned the actions as a violation of national sovereignty and stated they will take all necessary measures to defend their security, including responding to the aggression.

The situation presents Gulf rulers with a difficult choice: continue dialogue with Iran, which has proven ineffective, or align more closely with the US and Israel, potentially increasing their exposure to reprisals as Iran descends into chaos. The conflict has materialized the long-feared scenario of Gulf countries being drawn into the war.