U.S.-Iran War: Trump Reinstates ‘Iranian Blockade,’ Imposes 20% Strait of Hormuz Cargo Fee
Highlights
- Trump said that they are reinstating the Iranian blockade in the Strait of Hormuz.
- He said the U.S. will be known as the "THE GUARDIAN OF THE HORMUZ STRAIT,"
- The president also mentioned that a 20% fee will be reimbursed to the U.S. on all cargo shipped.
In the latest U.S.-Iran war development, President Donald Trump has announced that the U.S. will reinstate the Iranian blockade in the Strait of Hormuz. The U.S. will also impose a cargo fee on all ships that it assists in crossing the major waterway. Bitcoin has dropped from its recent high above $64,000 as the war escalates again.
U.S.-Iran War Escalates as Trump Reinstates Iranian Blockade
In a Truth Social post, the president said that they are reinstating the Iranian blockade, which will only stop Iran’s ships or customers from entering or leaving the major oil chokepoint. This came as he said that the Strait of Hormuz is open and will remain open with or without Iran, even as the U.S.-Iran war escalates again.
“All other countries will have fair and open use of the Strait,” President Trump assured. He also mentioned that the U.S. will, from now on, be known as “THE GUARDIAN OF THE HORMUZ STRAIT,” and will be reimbursed at the rate of 20% on all cargo shipped. He said this payment will cover all costs necessary to provide safety and security for this “very volatile section of the World.”
The president added that the process and formation will begin immediately. It is worth noting that President Trump earlier said that the U.S. is taking over the Strait of Hormuz, signaling plans to impose a toll on this major waterway, similar to Iran’s proposal.
This move follows the latest escalation in the U.S.-Iran war, with Iran’s Navy stating that the Hormuz Strait is shut until further notice. Iran has also struck several vessels in the Strait of Hormuz over the last few days as it seeks to exercise its control over this waterway.
Strait of Hormuz Traffic Unlikely To Return To Normal
Crypto traders are again betting that traffic through the Strait of Hormuz will not return to normal anytime soon amid the latest escalation in the U.S.-Iran war. Data from the top crypto prediction market platform, Polymarket, shows only a 16% chance that traffic will return to normal by August 31.
The odds notably crashed from a recent high of around 48% earlier this month, with President Trump declaring that the ceasefire is over. The U.S. and Iran have been trading strikes since last week after Iran attacked oil tankers in the Hormuz Strait.
Meanwhile, the Bitcoin price continues to trend downwards from a recent high above $64,000. The leading crypto is down over 2% today and currently trading at around $62,400, according to TradingView data.
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