• Iran’s deputy foreign minister says the Strait of Hormuz will remain closed until the US corrects its errors and returns to its commitments.
  • Tehran has linked the reopening of the strategic waterway to US compliance with a set of demands, including accountability for perceived breaches.
  • Efforts to mediate through Oman show no sign of breaking the stalemate.

Strait of Hormuz: A Stalemate

Iran’s deputy foreign minister, Gharibabadi, told state TV on Thursday that the United States must correct its errors and return to its commitments if it wants a reopening of the Strait of Hormuz. The remarks underscore Tehran’s stance that the waterway’s status is tied to Washington’s behavior, including what Iran calls breaches of promises.

“The US must show it is serious about honoring its obligations,” Gharibabadi said, speaking to reporters after talks with Omani mediators. But he added that no progress has been made, as Washington has yet to demonstrate a willingness to meet Tehran’s conditions.

The Strait of Hormuz is a critical chokepoint for global oil shipments, with about 20% of the world’s petroleum passing through its narrow waters. The threat of closure has kept oil markets on edge, with benchmark crude futures trading higher on news of the continuing impasse.

A Path to Reopening?

Efforts to restart dialogue have hit a snag, as Gharibabadi emphasized that Iran sees no room for negotiation until US actions match rhetoric. The deputy foreign minister’s comments come amid reports that Omani officials have been shuttling between Washington and Tehran, but sources familiar with the matter say the US has not engaged with the “correcting errors” demand.

“They’ve been told clearly what needs to happen,” said one European diplomat, speaking on condition of anonymity. “But the administration seems focused on other priorities, and that’s left the Hormuz issue in limbo.”

The US State Department did not immediately respond to a request for comment.

Market and Diplomatic Implications

For investors, the standoff poses a real risk to supply chains, and shipping insurance premiums for vessels in the Gulf have risen sharply. Analysts warn that without a deal, Iran could make good on its threat, forcing a re-routing of tankers and a spike in energy costs.

“The market is underpricing the tail risk here,” said Sarah Jenkins, a Middle East analyst at a London-based consultancy. “If Hormuz closes, even briefly, you could see Brent spike to levels not seen in years.”

But Tehran’s position may also be a negotiating ploy. “They’re using the strait as leverage in the broader nuclear talks,” said Jenkins. “The US needs to decide whether to give ground on sanctions relief or risk a crisis.”

Gharibabadi’s remarks suggest little movement, but both sides have left the door open for further talks in Oman. For now, the waterway remains open, but the clock is ticking.

Correction: A previous version of this article incorrectly stated the date of Gharibabadi’s remarks. They were delivered Thursday, not Wednesday.