US President Donald Trump has withdrawn his proposal to impose a 20% fee on cargo shipped through the Strait of Hormuz, replacing it with plans for major trade and investment agreements with Gulf states as the United States resumed its naval blockade of Iranian ports.
Trump announced the decision hours before US Central Command (Centcom) launched another round of strikes against Iranian targets, saying the operations were aimed at weakening Iran’s ability to attack commercial shipping in the strategic waterway.
Centcom said late on Tuesday that its “forces began launching an additional round of strikes against Iran to continue degrading Iranian capabilities used to attack commercial shipping” in the Strait of Hormuz.
The latest military action followed a third consecutive night of US strikes. Iranian state media reported explosions in several cities, including Bushehr, home to the country’s only nuclear power plant.
Tehran said it had targeted US military facilities in Bahrain and Jordan after previously striking two United Arab Emirates tankers.
The renewed attacks have highlighted the importance of the Strait of Hormuz, a vital global shipping route. Iran has accused the United States of interfering in the waterway, while Washington says it is protecting international shipping.
Trump had earlier declared the US the “guardian” of the Strait of Hormuz and announced plans to impose a 20% charge on all cargo passing through the route to cover the cost of protecting it. He also said the United States would restore its naval blockade of Iranian ports.
In a later post on Truth Social, Trump said the fee would no longer go ahead.
“I have decided to replace the 20% United States Reimbursement Fee with Trade and Investment Deals that the various Gulf States will be making into the United States.
“Those Investments will be MASSIVE but, at the same time, extraordinarily good for them, and their future.”
He gave no further details about the proposed agreements.
Trump also wrote that the Strait of Hormuz “is open to ALL Ship traffic except for Iran” and that “oil is flowing like never before, thanks to the awesome Power of the United States Military”.
Speaking after talks in Washington with Iraqi Prime Minister Ali al-Zaidi, Trump said: “I don’t like the concept of a fee, but at the same time, it’s not fair that we’re protecting this Strait for the entire world.”
He added that he changed course after receiving numerous calls from Gulf leaders.
Iran rejected Trump’s claims, insisting it remained in control of the Strait of Hormuz.
Iran’s Deputy Foreign Minister Kazem Gharibabadi said Trump’s decision to restore the blockade “has, in a way, dismantled” an earlier truce agreement.
The United States first imposed a naval blockade on Iranian ports in April before lifting it in June under a memorandum of understanding intended to reduce tensions. However, disputes over the Strait of Hormuz have continued.
Shipping data shows vessel traffic through the strait has fallen to its lowest level in two months, while Brent crude oil prices have risen sharply.
The Strait of Hormuz previously carried about 25% of the world’s oil shipments and 20% of global liquefied natural gas supplies before Iran disrupted traffic following US and Israeli strikes on February 28.
Separately, Israeli Prime Minister Benjamin Netanyahu warned Iran against launching further attacks.
“I will say it to the leaders of Iran: Do not count on things remaining quiet if you attack us,” he said in a video posted on social media.
Faridah Abdulkadiri
