Europe is evaluating proposals that could permit navigation fees in the Strait of Hormuz, provided they remain non-compulsory and gain backing from the International Maritime Organization (IMO), the UN agency regulating maritime transport.
UK Position on Mandatory Tolls
Britain’s deputy prime minister, David Lammy, stated that imposing mandatory tolls would be disastrous. However, some cabinet colleagues acknowledged that payments for specific navigational services are permissible in many natural waterways, including the Strait of Malacca and the English Channel.
US Calls for Iran Guarantees
US officials have urged Iran to make a public declaration that the Strait of Hormuz is open and that ships using the corridor will not be attacked. They blamed internal power struggles in Tehran for difficulties in reaching and adhering to a deal. Iran has insisted its leadership is united on strait-related issues.
Donald Trump reiterated on social media that he views the interim ceasefire deal as “over” but said the US would continue talks for a permanent end to the war. He later threatened Iran, writing, “1,000 missiles are locked and loaded and aimed at the Islamic Republic of Iran,” adding that the US military would “completely decimate and destroy all areas of Iran – PRAISE BE TO ALLAH!” His comments followed the funeral of late supreme leader Ayatollah Ali Khamenei, during which there were calls for Trump to be killed. Iran’s new supreme leader, Mojtaba Khamenei, vowed revenge, stating it “is the will of our nation and must certainly be carried out.”
Oman's Proposal Based on Malacca Model
A proposal adapting principles from the Strait of Malacca has been developed by Oman in conjunction with British lawyers. Muscat has offered to send legal experts to Tehran to explain the plan. Iranian state media reported that Foreign Minister Abbas Araghchi would travel to Oman for talks on the strait, focusing on shipping safety. Turkish Foreign Minister Hakan Fidan expressed hope for a solution this weekend between Iran and Oman.
Araghchi accused the US of violating the memorandum of understanding (MoU) by stopping waivers that allowed Iran to sell oil in US dollars, a move made after attacks on vessels in the strait.
Regional Concerns and Divisions
Oman controls most navigable waters in the strait and opposes a compulsory toll. Qatar’s foreign ministry spokesperson, Majed al-Ansari, warned that giving Iran sovereignty over the strait in a way contradicting international maritime law would make others “hostages to whatever radical element that wants to take over the strait.” A diplomat noted divisions within Iran, particularly between the Islamic Revolutionary Guard Corps (IRGC) and those favoring cooperation.
Iran is under pressure from regional states to clarify its proposals and whether fees would be effectively compulsory. The Iranian embassy in London expressed interest in proposals from the Energy Policy Research Group, which argued that a transparent service fee within an inclusive regional order would incentivize cooperation, not a crude toll.
IMO Discussions
At an IMO council meeting in London, Oman delegate Khamis bin Mohammed Al Shamakhi stated that transit passage rights are guaranteed under international law and do not support compulsory fees. However, he noted value in exploring voluntary arrangements for navigational support services to enhance safety and environmental protection. Detailed work by Oman on the Strait of Malacca cooperative mechanism, through which over 120,000 vessels transit annually, was referenced. Voluntary contributions, notably from Japan, keep that mechanism working.
An alliance of Gulf and European states pressed for a resolution condemning Iran for seeking to control the strait by attacking ships, but the motion was not supported by Russia or China. Russia said it ignored root causes, while China called it one-sided and beyond the IMO mandate.
Military Escalation
The motion followed US strikes on over 150 targets in southern Iran to destroy Iran’s ability to harass shipping with drones, missiles, and small boats. Iran responded by hitting US bases in Kuwait and Bahrain. A diplomat cited two reasons for renewed fighting: disputed control of the strait during reopening and long-term management, including whether the Malacca model would be acceptable to Iran.
MoU Commitments
Clause 5 of the MoU signed by Washington and Tehran committed Iran to ensure safe passage for commercial vessels through the strait with no charge for 60 days. After removing technical and military obstacles, traffic would be restored within 30 days. The US claimed the MoU did not grant Iran permission-based control. The memorandum also committed Iran to talks with Oman on a long-term plan.
The IRGC navy claimed it had met MoU commitments as it interpreted them. IMO Secretary General Arsenio Dominguez believed he had won Iran’s agreement to a southern route for evacuating stranded sailors, but Tehran rescinded approval, forcing the IMO to suspend its plan. The US continues to encourage commercial ships to use the southern route, with US Central Command claiming it facilitated the transit of over 800 commercial vessels and 380 million barrels of crude oil since early May. The IRGC navy reiterated that foreigners have no role in the strait. Diplomats are examining whether Tehran insists on all ships using the northern route or simply requires permission for the southern route.
