Iran Seizes Control of Strait of Hormuz as US Navigates Naval Failure

The Strait of Hormuz, a critical waterway for global oil trade, has become a point of contention between Iran and the US. A draft agreement between Iran and Oman would grant Tehran control over ships entering the Gulf through the strait, one of the biggest concessions yet after five months of war with the US.

The deal would allow Iranian territorial waters to be used by commercial ships on both inbound and outbound legs, according to Iranian Deputy Foreign Minister Kazem Gharibabadi. However, it is unclear who would inspect ships or whether fees would be voluntary.

The US has insisted that it would never accept Iranian control of the waterway, with President Donald Trump hinting at an announcement close. AP reported that any deal is likely to depend on Washington lifting its naval blockade of Iranian ports.

The strait's narrowness and Iran's military capabilities have made it difficult for the US to force a passage. Insurers have pulled cover, and owners have refused to sail due to the risks, with traffic running at about 10% of pre-war levels, according to Mark Cancian, an analyst at the Center for Strategic and International Studies.