Trump's Proposal for Shipping Fees in the Strait of Hormuz Raises Concerns
President Donald Trump has suggested implementing a 20% "reimbursement" fee on all cargo transported through the Strait of Hormuz. This proposal could result in an estimated charge of around $30 million for each fully loaded crude oil supertanker. According to a Bloomberg analysis, this figure is based on current crude oil prices, which hover around $80 per barrel, and the capacity of a typical Very Large Crude Carrier (VLCC) that can hold 2 million barrels. At this price point, a complete cargo is valued at approximately $160 million, making the proposed fee about $32 million, or roughly $30 million per trip. In contrast, Iran has previously imposed fees of up to $2 million per voyage on an irregular basis, as reported by sources familiar with the situation.
Trump introduced this proposal while declaring that the US would serve as the "GUARDIAN" of the Strait of Hormuz, asserting that it deserves compensation for safeguarding this crucial shipping route. He stated, "We’re going to keep the strait, and we’ll probably run it. We'll become the guardian of the strait. Maybe we’ll call it the guardian angel of the strait. And we should be reimbursed for that," during a phone interview with a media channel. However, the White House has yet to clarify how this fee would be implemented or if it has been discussed with US allies in the Gulf region.
The struggle for dominance over the Strait of Hormuz is deemed vital for both the US and Iran, especially as a tenuous ceasefire has deteriorated. Iranian Foreign Minister Abbas Araghchi has expressed support for the toll system in Hormuz, stating, "Absolutely right. Whoever provides secure and safe passage of commercial vessels through the Strait of Hormuz should be compensated for this service." He noted that while the 20% fee is excessive, he believes in fairness.
Trump has asserted that Iran consented to what he termed a "perfect deal" with the US, only to launch a drone strike on a commercial vessel shortly after the agreement. This cycle of retaliatory attacks was initiated when a container ship was targeted in the strait near Oman. The Strait of Hormuz, a narrow passage at the entrance of the Persian Gulf, has experienced significant shipping disruptions since the onset of the US-Israel-Iran conflict, accounting for roughly 20% of global oil and gas transportation.