Baghdad / Ankara – March 2026 Iraq has suspended crude oil shipments through the main pipeline linking northern Iraq (Kurdistan Region) to Turkey’s Mediterranean port of Ceyhan, according to a Bloomberg report published today. The Kirkuk-Ceyhan pipeline, which has a capacity of up to 400,000–450,000 barrels per day, serves as the primary export route for Iraqi Kurdistan’s oil to global markets.

The shutdown follows the collapse of long-running commercial and legal disputes between Baghdad and the Kurdistan Regional Government (KRG) over revenue sharing, export rights, and the March 2023 Paris arbitration ruling that declared the KRG’s independent oil sales illegal under Iraq’s constitution. Iraq’s federal government has refused to resume flows until a new agreement is reached that aligns with Baghdad’s control over all national oil exports.

The halt threatens severe economic consequences for the Kurdistan Region, which relies on oil sales for ~85–90% of its budget. It also impacts global oil markets at a time of already tight supply, with Brent crude hovering near multi-year highs. Turkey, which earns transit fees, has called for urgent talks to restart flows.