Uncle Sam might act as a paid bodyguard for ships traversing the Strait of Hormuz. President Trump said on Truth Social yesterday that the US will be the waterway’s “guardian,” using its navy to keep it open, while charging shipowners a 20% fee on their cargo for getting it through the area safely. The president’s post also said that the US would reimpose its blockade of Iranian oil shipments. Trump’s announcements followed the US and Iran exchanging attacks this weekend, undermining the recovery of the region’s shipping traffic that came after last month’s ceasefire. The fighting restarted last week when the US responded after Iran attacked commercial ships in the Strait of Hormuz, claiming vessels were only allowed to pass through its approved routes. The US struck additional targets in Iran last night, and said its blockade of Iranian ships would resume today at 4pm ET. The UAE said Iran hit two of its tankers in retaliation yesterday. Before the war, one-fifth of the world’s oil passed through the strait. The US previously said it must remain open without tolls. Murky seasThe idea of paying the US for maritime security—and the percentage floated—is raising eyebrows: - Bloomberg reported that analysts and industry insiders expressed confusion about how the escort fee would work in practice. The publication estimated that a 20% cut would be about $30 million for a supertanker filled with oil, several times more than the ~$2 million tolls Iran began charging amid the war.
- Another analyst told CNN that shipowners typically pay only ~2% or 3% of a cargo’s value in fees. The outlet also said insurers might refuse to cover vessels in the strait even if they’re willing to shell out for US naval protection.
Is a protection fee legal? The UN’s International Maritime Organization said yesterday that it opposes any shipping tolls in the Strait of Hormuz, in accordance with international law. It previously made similar statements when Iran charged tolls. But some experts say the US could legally charge a fee—as long as it’s for a specific and voluntary service. It’s already having an impact: The price of crude rose above $80 a barrel yesterday for the first time since the US and Iran agreed to a ceasefire in June.—SK | 
