US President Donald Trump has reversed his plan to impose a 20 percent charge on cargo passing through the Strait of Hormuz, saying the proposed fee will instead be replaced by trade and investment agreements with Gulf countries.
Trump announced the decision on Tuesday in a post on Truth Social, a day after saying the United States would impose the levy on all cargo moving through the strategic waterway.
According to the US president, the new approach will focus on securing major investments from Gulf states into the United States instead of charging ships using the Strait of Hormuz.
Trump also said the waterway would remain open to international shipping, except for vessels traveling to or from Iranian ports or carrying Iranian cargo, which he said would remain subject to a full US blockade.
The announcement comes as tensions between the United States and Iran continue to escalate.
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Iran Attacks Two UAE Tankers
Iran’s Islamic Revolutionary Guard Corps said it attacked two UAE tankers in the Strait of Hormuz overnight, while the US military said it carried out strikes targeting Iran’s capability to threaten commercial shipping.
The International Maritime Organization (IMO) said at least two seafarers were killed and several others injured during the attacks on tankers in the strategic waterway.
Meanwhile, Iranian state media reported explosions near the port cities of Bandar Abbas and Bushehr, while Kuwait’s military said its air defense systems intercepted hostile aerial targets in its airspace.
The renewed hostilities have disrupted shipping through the Strait of Hormuz, one of the world’s busiest oil transit routes.
According to energy analysts, crude oil exports through the strait have fallen sharply in recent days, contributing to a rise in global oil prices amid concerns over the impact of the conflict on energy supplies.
Source: BBC
Rafiyat Sadiq is a political, justice, and human rights reporter with Pinnacle Daily, known for fearless reporting and impactful storytelling. At Pinnacle Daily, she brings clarity and depth to issues shaping governance, democracy, and the protection of citizens’ rights.