Oman Proposes Voluntary Strait of Hormuz Transit Fee, US Raises Concerns

Oman has submitted a proposal to the United States and its allies that would introduce a voluntary fee for ships passing through the Strait of Hormuz, according to reports.

While sources quoted by the newspaper said the proposed payment would be voluntary, Iranian officials have repeatedly stated that Iran plans to oversee transit through the strategic waterway and have not described any future fee as optional.

Iran Says Transit Charges Are Justified

Mehdi Mohammadi, a senior adviser to Iran's principal negotiator Mohammad Bagher Ghalibaf, said the name of the payment is not important. According to him, it could be described as "tolls, service fees for security or naval passage," adding that "there is no free service anywhere in the world."

Iranian officials have also said that they intend to manage the Strait of Hormuz together with Oman. However, they have added that Iran is prepared to control the waterway on its own if Oman does not participate.

Trump Rejects Toll Proposal

The latest development comes only weeks after US President Donald Trump warned that he would "blow up" Oman if it introduced a fee for ships transiting the Strait of Hormuz.

The proposal also contrasts with repeated statements from Trump and US officials that passage through the Strait would remain free and unconditional.

Iran Cites MoU to Support Transit Fee

However, Iran has consistently rejected those claims. Iranian officials have pointed to the memorandum of understanding (MoU) signed by Trump and Iranian President Masoud Pezeshkian. According to Iranian officials, the agreement provides for free passage through the Strait for only 60 days, after which Iran and Oman would manage the waterway. They argue that the agreement allows Iran to charge ships for transit.

The US-Iran MoU states that Iran will hold consultations with Oman to "define the future administration and maritime services in the Strait of Hormuz, in discussion with other Persian Gulf littoral states in line with the applicable international law and the sovereign rights of coastal states of the Strait of Hormuz."

US Raises Objections to the Plan

According to reports, the Trump administration has raised objections to the Iranian-Omani proposal. Sources said US officials have informed Oman that they want to hold discussions regarding those concerns.

Read More: Oman and Iran Enhance Collaboration on Strait of Hormuz Navigation

Last week, Trump described the idea of charging ships to cross the Strait as "unacceptable." However, the agreement signed between the US and Iran gives Iran the right to impose a toll after the initial toll-free period.

Iran Enforces Designated Shipping Routes

Even during the 60-day period of free passage, Iran has stated that ships must follow designated transit routes. Iranian authorities said vessels travelling outside the approved route, including those using the southern section of the Strait through Omani waters instead of the designated route passing through Iranian territorial waters, could lose their right to transit.

Last week, Iran attacked a ship that was reportedly travelling through the Strait outside the designated route.

New Transit Rules Could Reshape the Strait

If implemented, the proposed system of transit fees and mandatory shipping routes would significantly change how the Strait of Hormuz is managed. Previously, ships could pass through the waterway without paying a fee and could choose their preferred route. Under the proposed arrangement, Iran would gain a steady source of revenue and play a central role in overseeing one of the world's most important maritime trade routes, through which around 20% of global oil and gas supplies pass.