The last time an international War started, the world economy was drastically interrupted and growing commodity prices were simply justified by the phrase “Russia-Ukraine” even before one explained the supply chain challenges. There is yet another International war that has been blown out of proportion.

The Israel-Palestine conflict has been going on for the last 75 years and Israel has not declare a state of war for 50 years. In 2020 when the Abraham Accords were signed by a few Arab countries it was even thought that the conflict would soon fade off and the world would finally accept the Israeli apartheid against the Palestinians.

In the seven decades of the Israel-Palestine question, which is mostly about land grabbing and poor land governance because of post-European colonialism. The Palestinian players have always evolved and in the late 1970s, a new one started to emerge within the Palestinian Liberation Organization (PLO) that is today known as HAMAS that MOSSAD the Israeli intelligence outfit propped up as an antagonist for the efforts of Yasser Arafat. Even when the PLO archived the Oslo success HAMAS refused to recognize the Accord which turned out to be the right path going by how the West and Israel have continued to dehumanize the Palestinians today.

What makes this round of fighting unique is the style that HAMAS took on to try and break the Israeli siege on Gaza. Gaza has been referred to as an “open-air prison” but in an actual sense, it’s a concentration camp. HAMAS used land, air, and sea to attack 22 Israeli cities, Gaza is facing an almost two-decade land, air, and Sea military-siege. Palestinian guerillas were able for a time to enter Israeli towns and cities and they even overran military outposts on the 7th of October 2023.

Israeli Prime Minister Benjamin Netanyahu declared a state of war for the first time since 1973. This conflict bore striking similarities to the Ukraine-Russia conflict, not only due to the intensity of the fighting but also because of the involvement of various global players, both openly and covertly. This international involvement raised concerns about the potential impact on the global economic landscape.

The United States and the European Union condemned the HAMAS guerillas which they consider to be terrorists even though they have never carried out attacks abroad, at some point, the US President seemed to give Netanyahu the go-ahead and commit a modern genocide in Gaza. Russian President Vladimir Putin said in a statement on Tuesday 11th October 2023 that the creation of a Palestinian state is a ‘necessity’. Putin also added that the Israel-Gaza conflict shows the ‘failure’ of US Middle East policy. Even if Russia has always advocated for a diplomatic and political solution to the Palestine-Israel conflict because of the US and the whole of the West’s war effort on the side of Kiev this round of fighting was met with a new mood from Moscow.

China put out a statement saying it was deeply concerned over the current escalation of tensions and violence between Palestine and Israel. China called on relevant parties to remain calm, exercise restraint and immediately end the hostilities to protect civilians and avoid further deterioration of the situation. Beijing said the recurrence of the conflict shows once again that the protracted standstill of the peace process cannot go on. The fundamental way out of the conflict lies in implementing the two-state solution and establishing an independent State of Palestine. China asked the international community to act with greater urgency, step up input into the Palestine question, facilitate the early resumption of peace talks between Palestine and Israel, and find a way to bring about enduring peace. China committed to continue to work relentlessly with the international community towards the end of the conflict. A statement that was not welcomed by the United States an Israel claiming Beijing didn’t condemn Hamas’s actions.

War mongers in America are also accusing President Xi of China for inviting the President of the PLO to China in June of 2023 for a state visit where the China-Palestine Strategic Plan was announced. They are those accusing China of having a hand in facilitating the movement of US weapons left in Afghanistan to sea drop-offs of the cost of Gaza.

Openly China in its global peace efforts defused tensions between Iran and Saudi Arabia who had been going about a Middle East cold war for a while. In 2023 China announced a surprise deal restoring ties between Saudi Arabia and Iran this year, it was a sign of President Xi of China’s desire to setup a diplomatic powerhouse in the Middle East. The reports of a phone call between Iran’s President Ebrahim Raisi and Saudi Arabia’s Crown Prince Mohammed bin Salman had their first-ever phone call, discussing Palestine on the 11th of October 2023 meant everything. Iran and Saudi Arabia see themselves as the leaders of the Muslim world even if the former are majority Shia and the latter Suni.

Hamas, primarily a Sunni organization, initially received significant financial support from Saudi Arabia during its early years. However, the Palestinian cause has always been open to various ideologies that offer support and solidarity, including Christians, who form a substantial portion of the Palestinian population.

As Hamas increasingly garnered support from Shia Iran, Saudi Arabia’s backing for Palestinian independence waned. However, with China’s diplomatic efforts, there is a potential for a shift in the geopolitical and geo-economic landscape of this conflict. Notably, both Iran and Saudi Arabia are major players in the global energy sector, collectively accounting for about 40% of the world’s energy resources and are also now members of BRICS.

The historical context is crucial. In 1973, when Arab countries (Iran is not an Arab Country) united against U.S. and Western support for Israel during the Arab-Israeli conflict, it resulted in a significant global impact. World oil prices skyrocketed from $3 per barrel to $11 per barrel. This history underscores the potential for dramatic consequences when major energy producers align in the context of conflicts in the Middle East.



That’s how this latest confrontation between HAMAS and Israel can affect everything we know and do not know on global supply chain. It can affect food security and food prices, it can affect industrialization and simple transport fares just like Russia’s military activities in Ukraine sent the world economy into a downward spiral. That’s how we could all be affected by this war.

What is the likelihood of this, Saudi Arabia has decided to end talks to normalize ties with Israel, claiming it can’t put the lives of Palestinians lower than a deal with Israel. Iran offered full support for HAMAS and one of Iran’s proxies in Lebanon has opened another front for Israel to fight in the bid to outstretch Tel Aviv’s military capacity all this implies this could become a full-scale war creating supply chain choke points the world over creating a nightmare if oil is used as political tool. The United Nations Security Council is sharply divided on the issue and the Russia-Ukraine conflict had brought enough tensions to the council meaning the economics will have to take a hit for now.