Washington, United States. President Donald Trump abandoned plans for a 20% fee on cargo passing through the Strait of Hormuz, saying Gulf states would instead enter trade and investment agreements with the United States. The decision came as Washington prepared to resume a naval blockade of Iranian ports.
Fee replaced by investment deals
Trump had proposed the charge to help cover the cost of US operations protecting shipping through the strategic waterway, where traffic has fallen sharply following renewed strikes between the United States and Iran.
In a statement on his Truth Social platform, Trump said he would replace the “20% United States Reimbursement Fee” with “Trade and Investment Deals” that Gulf states would make with the US.
“Those investments will be MASSIVE but, at the same time, extraordinarily good for them, and their future,” he wrote, without providing further details.
Trump later said the Strait of Hormuz was “open to ALL Ship traffic except for Iran,” adding that “oil is flowing like never before, thanks to the awesome Power of the United States Military.”
Blockade and military exchanges
US Central Command had previously announced that a naval blockade of Iranian ports would take effect at 20:00 GMT on Tuesday, as Washington sought to increase economic pressure on Tehran.
The developments followed a series of military exchanges between the two countries. The US said it had conducted further strikes intended to reduce Iran’s ability to target shipping in the region.
Iranian state media reported explosions in several cities, including Bushehr, where the country’s nuclear power plant is located.
Shipping and energy concerns
Shipping data showed traffic through the Strait of Hormuz had dropped to its lowest level in two months, while oil prices rose on concerns about disruption to one of the world’s most important energy routes.
Before tensions escalated following US and Israeli strikes against Iran on February 28, the strait carried about a quarter of global oil supplies and one-fifth of liquefied natural gas shipments.
Iran has accused Washington of interfering in its control of the waterway. US officials have said the measures are intended to protect international shipping and limit Tehran’s military capabilities.
