US President Donald Trump has announced the reinstatement of a naval blockade targeting Iranian ports and vessels, while saying the United States would seek a 20% payment on cargo passing through the Strait of Hormuz.
Trump said the strategically important waterway would remain open to international commercial traffic “with or without Iran,” describing the United States as the guardian of the strait.
He said the 20% charge would reimburse Washington for the cost of protecting ships and cargo travelling through the waterway. However, details on how the charge would be collected and enforced have not been announced.
The announcement followed renewed exchanges of attacks between the United States and Iran and Tehran’s declaration that the Strait of Hormuz had been closed to unauthorised vessels.
The United States says its blockade would target Iranian shipping and vessels conducting business with Iran, while allowing other international cargo traffic to pass through the strait.
The Strait of Hormuz is a major route for global oil and gas shipments. Concerns over possible disruptions to shipping have pushed oil prices higher and raised fears of further pressure on global inflation.
The legal and practical basis for imposing a 20% charge on international cargo remains unclear, and no detailed implementation mechanism has been publicly disclosed. (Newswire)