Gulf states back plan to let Iran collect voluntary fees to use Hormuz

Oman has garnered support from other Gulf states for a proposal that would permit Iran to collect voluntary fees from ships using the Strait of Hormuz. This initiative seeks to resolve the trade disruptions stemming from the ongoing conflict between the US and Iran.

President Donald Trump, who recently halted a bombing campaign against Iran, indicated that discussions were underway but warned of renewed strikes if negotiations falter. Iran, however, denies any intention to resume talks with the United States.

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good talks

The Strait of Hormuz, a critical chokepoint for global energy trade, had its traffic significantly impacted after Iran effectively closed it following attacks by the US and Israel. A partial reopening occurred after a deal last month, but it collapsed in early July when Iran fired on ships traversing a route it did not sanction.

Under the Omani proposal, Iran would not have exclusive control, and the fees would be voluntary, similar to a system in Asia's Strait of Malacca. Iran's Foreign Minister discussed regional cooperation regarding the strait with his Omani and Saudi counterparts. Meanwhile, Trump expressed cautious optimism about a potential deal but reiterated the threat of military action if talks fail.

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I think there’s a good chance that something could happen, and if it does, good, if it doesn’t, we ⁠go back to doing what we were doing two days ago.