Trump cancels 20% fee on ships transiting Strait of Hormuz, opts for Gulf investments

President Donald Trump announced Tuesday that the United States will not impose a proposed 20% fee on ships transiting the Strait of Hormuz. Instead, Persian Gulf nations have committed to investing in the U.S. through trade and investment agreements, according to EFE.

Trump stated on his Truth Social platform that productive discussions with Middle Eastern leaders led to the decision to replace the fee with these commercial and investment pacts between Gulf states and the U.S. This move comes despite Trump's earlier announcement of reimposing a naval blockade on vessels departing from or arriving at Iranian ports.

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The Strait of Hormuz is open to all maritime traffic, except for Iran.

The U.S. president accused Iran's leadership of being "lying, violent, and malicious," asserting that the Strait of Hormuz remains open to all maritime traffic except Iran's. He further indicated a total blockade would be imposed on ships connected to Iran, EFE reported.

In response, the Iranian army declared that its armed forces would not yield on the issue of the Strait of Hormuz, following Trump's self-proclamation as the "guardian" of the vital oil transit route. Tensions have escalated in the Persian Gulf over the past week, with the U.S. and Iran exchanging attacks, ending a ceasefire agreement from June 17 aimed at resolving the conflict and reopening the strait.

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Our armed forces will not yield an inch on the Strait of Hormuz.