GeopoliticsIMPORTANT

Iran and US-allied Oman are moving forward with plans to collect payment for ships transiting the Strait of Hormuz, despite public American objections, according to NYT citing sources

News detail

Oman recently delivered a formal proposal to the United States and other Western allies that outlined a plan in which shipping companies would pay service fees to use the strait, according to the Iranian official and a regional diplomat. A person familiar with the U.S. position confirmed that American negotiators had received the Omani proposal and said that they had concerns that they intended to discuss with Omani officials. Oman’s proposal is partly modeled on arrangements in the Straits of Malacca and Singapore, an Asian waterway where a private foundation collects voluntary contributions for safe navigation, the regional diplomat said. Any fees in the Strait of Hormuz would be voluntary, the diplomat said. The Iranian official, however, said that the payments would be obligatory.

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