Trump Shifts Strategy on Strait of Hormuz Fees

President Donald Trump has abandoned his proposed 20% fee on cargo through the Strait of Hormuz, opting for trade and investment deals with Gulf states instead. The initial fee proposal faced opposition from the UN. The waterway remains open, with exceptions for Iranian traffic.

U.S. President Donald Trump has reversed his stance on charging a 20% fee for cargo passing through the strategic Strait of Hormuz. Instead, he aims to establish trade and investment agreements with Gulf nations, following discussions with Middle Eastern leaders.

Trump made this announcement on his social media platform, Truth Social, highlighting that investments flowing from Gulf states into the United States would be substantial and beneficial for all parties involved. He did not specify any commitments from the Gulf countries in terms of investments, though.

The initial fee suggestion had drawn opposition from the United Nations' shipping agency. Meanwhile, Trump declared that the Strait of Hormuz remains accessible to international shipping, except for vessels linked to Iran, effectively imposing a blockade on Iranian maritime traffic.