The Hamm Institute for American Energy's Trilateral Energy Security Committee has released a new policy brief examining how a major disruption in the Strait of Hormuz is affecting the United States, Japan and South Korea, and what a stronger trilateral response should look like.

The report, "The 2026 Strait of Hormuz Disruption: Impacts on the United States, Japan, and the Republic of Korea, and a Trilateral Path to Resilience," analyzes the global energy shock and outlines a practical framework for moving from emergency response to long-term resilience.

The Strait of Hormuz remains one of the world's most critical energy corridors. According to the briefing, a prolonged disruption affects not only oil and liquefied natural gas markets but also downstream industries that depend on energy and petrochemical inputs, including agriculture, construction, healthcare, manufacturing and shipping.

The briefing finds that emergency stockpile releases and short-term supply shifts have provided relief but do not solve the deeper problem. Japan and South Korea remain highly exposed to energy flows through the strait. At the same time, the U.S. faces inflationary and industrial effects from global price volatility, even as domestic natural gas prices remain comparatively insulated.

The report recommends that the three countries build a more durable energy security framework through three priorities:

The first is market stability. Energy prices can move faster than supply chains can adjust, particularly when insurance, shipping, and financing constraints slow cargo movement. The report recommends government-backed insurance support mechanisms to reduce transaction bottlenecks and limit volatility, along with a more diversified energy portfolio that includes interim options and longer-term investments in small modular reactors, hydrogen, biofuels, and renewables.

The second is strategic reserve coordination. Rather than relying solely on national stockpile releases, the three countries should explore cooperative ownership and management of key reserves, including ship-based LNG reserves with reliquefaction capabilities and reserved vessel access for critical industrial feedstocks during market disruptions.

The third is infrastructure. The report calls for a joint trilateral infrastructure fund to expand flexible oil and LNG export and transport capacity, with a focus on reducing Panama Canal bottlenecks, developing U.S. West Coast and Alaska export capacity, strengthening cooperation with Canada, and expanding offtake and storage capacity in Japan and South Korea.

Together, these steps would move the three countries from reactive crisis management to a standing trilateral energy security architecture.

TESC is a strategic research initiative led by the Hamm Institute in partnership with OSU Global, the Korea Energy Economics Institute, and the Institute of Energy Economics, Japan. Through research, policy analysis, and direct engagement with government, industry, and academic partners, TESC focuses on the infrastructure, supply chains, and market systems that support allied energy security.

As the current disruption demonstrates, energy security is a test of infrastructure, market design, diplomatic coordination, and industrial resilience. The Hamm Institute's work through TESC is aimed at turning that lesson into deployable solutions for America and its allies.

Read the full report here.