Iran and Oman negotiate fees for ships transiting the Strait of Hormuz

Iran and Oman have presented a joint proposal to collect administrative fees from vessels passing the Strait of Hormuz, building on a U.S.–Iran memorandum of understanding. Iranian Parliament Speaker Mohammad Bagher Ghalibaf said the two countries reached an agreement on the strait’s regulation and rejected U.S. interference. European powers, citing Bloomberg, now consider such service fees inevitable, while China has urged “unimpeded passage” amid the fee chatter. Market pricing shows a rising probability that Iran will enforce a mandatory toll, with a 72.5 % chance of implementation by late October. Iran’s deputy foreign minister warned the UK and France against any military activity in the waterway, stating, “As a responsible power and the guarantor of security in the strait, Iran warns against any military activity.” The proposed fees would be shared by Iran and Oman and could fund environmental and navigational services, but opponents argue they could set a precedent for other waterways.