• Trump asserts Iran is obligated to open the Strait of Hormuz without charging fees, but no such clause exists in any known agreement.
  • Iranian officials reject the claim, citing international maritime law that allows coastal states to regulate transit.
  • The standoff underscores ongoing tensions over the vital oil chokepoint, with market watchers on edge.

Strait of Hormuz: A Flashpoint Rekindled

Former President Donald Trump has reignited debate over the Strait of Hormuz, declaring on May 4, 2026, that Iran is “obligated” to keep the waterway open and that any fees for passage would be a violation of unspecified commitments. The statement, made during a campaign rally in Florida, drew immediate pushback from Tehran, with Foreign Ministry spokesman Nasser Kanaani telling state media that “no such obligation exists” and that Iran retains the right to regulate transit under the UN Convention on the Law of the Sea (UNCLOS).

“There is no clause in any agreement—bilateral or multilateral—that forces Iran to subsidize passage for all vessels,” said a person familiar with the matter, speaking on condition of anonymity. “The Strait is subject to customary international law, which allows for reasonable charges and coastal state oversight.” Indeed, while UNCLOS grants ships the right of innocent passage, coastal states like Iran and Oman may impose tolls for services like pilotage or environmental protection—a practice common elsewhere, such as the Suez Canal.

A Disputed Legal Landscape

Iran’s position has hardened in recent months, with the country demanding compensation for oil spills and security risks tied to Western naval patrols. In March 2026, the Iranian parliament approved a bill allowing the navy to levy “safety fees” on commercial vessels, though implementation has been delayed amid international outcry. Trump’s claim that Iran must forgo all fees “is baseless,” according to a senior Gulf diplomat who requested anonymity. “The United States has no standing to unilaterally declare such an obligation.”

The confusion stems partly from Iran’s participation in the 2025 Joint Gulf Security Framework, a non-binding accord that affirmed “freedom of navigation” but included no specific provisions on fees. “Trump is conflating broad principles with contractual terms,” noted a maritime law expert at a Washington think tank. “The reality is messier: Iran can charge, but if it blocks passage entirely, that’s a different matter.”

Market Jitters and Military Posturing

Oil prices edged up 1.2% on May 5 following Trump’s comments, with Brent crude trading at $78.40 per barrel as traders weighed the risk of supply disruptions. “Any hint of a fee regime or closure sends shivers through the market,” said a commodities analyst at a London-based brokerage. “But so far, it’s noise—no concrete changes on the water.”

US Navy Fifth Fleet officials confirmed that transit through Hormuz remains normal, with an average of 17 million barrels of oil and LNG passing daily. Yet behind the scenes, tensions are simmering. Two US warships were repositioned to the Arabian Sea last week, a move the Pentagon says is routine but others interpret as a message to Tehran. Iran has responded with drills involving fast-attack craft and anti-ship missiles, raising the stakes.

This article has been updated to clarify that the Joint Gulf Security Framework is non-binding and does not address fee provisions.