Trump demands 20% fee for defending Strait of Hormuz

The news: President Donald Trump says the United States will reimpose a naval blockade on Iran and charge shipping companies a fee equal to 20% of their cargo’s value for protection through the Strait of Hormuz.

The context: Iran and the US disagree over whether the Strait of Hormuz remains open to commercial shipping. Tehran says it has closed the strait after the ceasefire collapsed, while the US military says it continues to guarantee freedom of navigation. One sticking point in the peace negotiations was Iran’s demand to retain control over the waterway and potentially levy transit fees. The two sides have exchanged strikes for nearly a week since Tehran attempted to assert control over the strait by attacking three commercial vessels. Oil prices climbed back toward USD 80 a barrel after Trump said the United States would reimpose a naval blockade on Iranian ports and begin charging a protection fee.

What they said: “The U.S.A. will be, from this point forward, known as “THE GUARDIAN OF THE HORMUZ STRAIT,” but as such, and as a matter of FAIRNESS, will be reimbursed, at the rate of 20% on all cargo shipped, for any and all costs necessary to do the job of providing safety and security to this very volatile section of the World,” Trump wrote in a Truth Social post.