Iran is attempting to transform the Strait of Hormuz into a paid transit system just weeks after a ceasefire reopened the critical waterway. Tehran wants vessels to pay for security, safety, and environmental services while crossing the oil chokepoint, with officials estimating annual revenues of approximately $40 billion for participating nations, according to the Wall Street Journal.
The proposal, pushed by Iran's chief negotiator Mohammad Bagher Ghalibaf during a visit to Oman, comes as the 60-day ceasefire deal temporarily allows toll-free passage. Iran has also been tasked with clearing mines from the strait and holds a seat in future management talks. However, Tehran does not recognize the existing maritime law framework, creating immediate legal and diplomatic friction.
U.S. Secretary of State Marco Rubio flatly rejected the fee idea during a Middle East trip, stating from Bahrain that "no country on earth has the right to charge for the use of international waterways." He confirmed Gulf states had already refused any transit charges. Oman's foreign minister, Badr Albusaidi, echoed this stance, insisting any future setup would exclude tolls. Oman has meanwhile launched a temporary, toll-free tanker corridor near its shore, organized by the International Maritime Organization.
Amid the diplomatic dispute, the Islamic Revolutionary Guard Corps attacked a Singapore-flagged cargo ship in the strait on Thursday, damaging its bridge. The incident occurred hours after Iran warned vessels against using unauthorized routes. Iranian state media also announced the creation of an insurance firm that it says shippers must use before crossing, intensifying the confrontation.
Rabobank analysts separately warned of converging risks for oil markets: the heightened tensions in the Strait of Hormuz and the fragile state of the Iran nuclear deal. The bank estimates a $5–$8 per barrel geopolitical risk premium is already built into Brent crude, and notes that even a short-term disruption could trigger emergency stockpile releases. The dual threat raises the probability of a supply shock to levels unseen since 2019's Abqaiq–Khurais attacks.
While former President Trump denied Iran was currently collecting fees, he did not rule out future negotiations. The situation leaves oil traders, insurers, and broader financial markets—including crypto—bracing for potential volatility as the standoff evolves.
