Trump announces US will control Strait of Hormuz, impose 20% toll on cargo and reinstate Iran blockade

President Donald Trump announced that the US will assume control of the Strait of Hormuz, impose a 20% cargo toll, and reinstate a naval blockade on Iran starting July 14, 2026. The move follows the collapse of a June ceasefire and a heavy exchange of missile and drone strikes between US and Iranian forces. While Iran's Foreign Minister Abbas Araghchi disputed the 20% rate, the UN's International Maritime Organization and US Secretary of State Marco Rubio noted that charging transit tolls on international waterways violates international law. Brent crude oil prices jumped over 3% to exceed $83 a barrel as shipping traffic through the vital strait fell by more than half.

Strait of Hormuz toll proposal

• ▪President Donald Trump announced that the United States will impose a 20% toll on all cargo shipped through the Strait of Hormuz.
• ▪President Donald Trump declared that the United States will be known as the "Guardian of the Strait of Hormuz" and will run the waterway.

US naval blockade enforcement

• ▪The United States will reinstate its naval blockade of Iranian ports, oil terminals, and coastal areas starting July 14, 2026, at 4:00 p.m. ET.
• ▪The US Navy-led Joint Maritime Information Center stated that any unauthorized vessel suspected of entering or leaving the blockaded Iranian area is subject to interception, diversion, and capture.

Iran military retaliation strikes

• ▪The United Arab Emirates air defences engaged incoming missiles and drones launched from Iran on July 12, 2026.
• ▪Iran's Islamic Revolutionary Guard Corps launched retaliatory missile and drone strikes against United States military facilities in Bahrain, Kuwait, Jordan, and Qatar.

International maritime law violations

• ▪US Secretary of State Marco Rubio and Vice President JD Vance previously stated in June 2026 that international law prohibits any country from charging tolls on international waterways.
• ▪The United Nations' International Maritime Organization stated there is no legal basis under international law to introduce mandatory tolls for transiting through an international strait.

Regional ceasefire collapse

• ▪The current conflict between the United States and Iran began in late February 2026 following the assassination of Iran's Supreme Leader Ayatollah Ali Khamenei in US-Israeli airstrikes.
• ▪President Donald Trump declared the mid-June 2026 temporary ceasefire deal with Iran "over" following repeated attacks on commercial shipping vessels.

Global oil price volatility

• ▪Data from Kpler indicated that commercial vessel crossings through the Strait of Hormuz dropped by more than half compared to the previous week.
• ▪Brent crude oil futures rose over 3% to trade above $83 a barrel on July 13, 2026, following the announcement of the US blockade and toll proposal.

7 sources