The US military launched airstrikes on Iran on Tuesday, July 7, hitting targets along Iran's southern coast. Explosions were reported in several cities, including Bandar Abbas, which hosts one of Iran's largest military bases and oil refineries near the Strait of Hormuz—a crucial passage for global oil shipments.

The US said it struck Iran in response to attacks on three commercial ships carrying goods through the Strait of Hormuz. The military hasn't yet released details about what was hit or how extensive the damage was.

This is the second time in two weeks the US has struck Iran. On June 25, Iran attacked a commercial ship called the M/V Ever Lovely. The US responded the next day by hitting Iranian weapons storage sites and radar installations. Now Iran has attacked again—this time three ships instead of one—and the US has responded again.

Why this matters: The Strait of Hormuz is one of the world's most important shipping corridors. About one-fifth of all oil traded globally passes through it each day. The three coastal cities targeted—Bandar Abbas, Qeshm Island, and Sirik—are where Iran stations its naval forces and weapons systems for controlling this waterway. By striking all three locations, the US appears aimed at reducing Iran's ability to disrupt shipping traffic.

The US is framing these strikes as defending "freedom of navigation"—the idea that commercial ships should be able to pass through international waters without attack. This is a rationale that other countries are more likely to support than, say, claims about stopping Iran's nuclear program or changing its government.

But here's the concern: A pattern of back-and-forth attacks—Iran strikes ships, the US strikes Iranian military sites, Iran strikes again—could turn the Strait of Hormuz into a war zone rather than an occasional flashpoint. If that happens, shipping insurance costs would rise, oil prices could climb, and countries in the region not directly involved in the conflict would still feel the economic damage.

Tehran hasn't officially responded to Tuesday's strikes yet. What Iran does next—whether it attacks US targets directly, hits more commercial ships, or works through allied groups in other countries—will signal whether this stays a limited fight over shipping or becomes a bigger regional conflict. The next few days will be watched closely by financial markets and governments across the Middle East.