On Tuesday, the foreign ministries of Iran and Oman released a statement announcing the creation of the Strait of Hormuz Commission. This group will oversee the future management of vessels in the strait, related services, and service fees, all while adhering to international standards.
Essentially, it seems that Iran and its neighboring countries might be gearing up to impose ransoms on international shipping.
Iranian state media suggested that a recent memorandum of understanding (MOU) with the United States forbids Iran from collecting “tolls” for 60 days from ships navigating the strait. However, the U.S. allegedly “accepted” Iran’s right to “collect fees for maritime services.”
An Iranian official noted, “This principle appears multiple times in the document: Iran allows vessels to pass free of charge for just 60 days. So while the U.S. seems to have acknowledged toll collection, they’ve only negotiated a temporary exemption.” This was stated on June 15.
According to Iran’s state-run Fars news agency, Tehran plans to offer “safety, navigation, environmental, and insurance services,” potentially charging fees for these. Esmail Baghaei, a spokesperson for the Iranian Foreign Ministry, confirmed that “maritime service charges” are being discussed.
Earlier, in May, Iran established the Persian Gulf Straits Authority (PGSA), which is tasked with the regulation and management of shipping in the Strait of Hormuz. It appears that this authority was also aimed at extracting ransoms from global oil, gas, and cargo shipments.
One of the rules implemented by the PGSA mandates that all vessels must carry insurance approved by the Iranian government. While it’s assumed that this insurance is provided “for free,” there’s always the possibility of introducing “premiums” later on.
On Sunday, Musa Rezai, Iran’s insurance regulator, announced the formation of a new insurance company focused on coverage for vessels in the Strait of Hormuz. However, the International Maritime Organization (IMO) indicated that they received no documentation regarding corporate or insurance regulations for review.
Shipowners and maritime analysts quickly voiced concern; they indicated that this arrangement feels like a scam, given that the PGSA’s founding documents assert the right to introduce insurance premiums later, implying that vessels might be coerced into procuring insurance.
Iran has also indicated it could impose “fines” on vessels that fail to adhere to its complex navigation rules.
The shipping industry is in an uproar, claiming that Iran’s current guidelines and directives are unworkable for commercial shipping, as stated by sources from various industry sectors.
“No single country can unilaterally assert control over international waters. This must be honored; otherwise, we risk never returning shipping traffic to pre-war levels,” emphasized an official.
Another industry representative pointed out that complying with Iran’s “insurance” scheme could violate numerous international laws, including ongoing U.S. Treasury sanctions against Iran. This would leave companies vulnerable under Iran’s inconsistent legal framework.
According to sources, most shipping companies would likely refuse to comply if Iran starts demanding insurance premiums. The general strategy seems to involve incurring Oman’s costs for navigating the Strait of Hormuz, remaining within Oman’s territorial waters. But this approach might backfire if Oman associates itself with Iran and commandeers ships from both sides of the strait.
In May, Iranian and Omani officials began discussing joint management of the Strait of Hormuz and the Gulf of Oman, including plans to impose tolls on passing ships. Iranian officials have noted that Oman, initially hesitant about this partnership, has grown more receptive recently and might persuade Gulf oil states and their Western allies to entertain the toll plan.
U.S. officials insist that neither Iran nor Oman can unilaterally demand payments for safe passage.
Referring to misrepresentations in the media, President Trump mentioned, “Iran has assured the United States that, contrary to troubling reports, they’re not imposing any fees or charges for ships sailing through the Strait of Hormuz.” He expressed concerns about false information affecting negotiations.
“If this turns out to be incorrect, discussions will end immediately!” he added.
Meanwhile, Secretary of State Marco Rubio is currently visiting Persian Gulf countries to address concerns surrounding the Iran peace deal. On Wednesday, he asserted that the world would reject any attempts by Iran to impose taxes on international shipping.
“This is an international waterway. No nation can levy tolls or fees on these waters,” he stated.
