United States Seeks 20% Hormuz Cargo Fee as Oil Prices Surge

Renewed US-Iran strikes have reduced vessel traffic through the Strait of Hormuz and lifted oil prices by more than 3%, while US President Donald Trump’s proposed 20% cargo fee raises new legal, security, and trade concerns.

The United States plans to assume a larger security role in the Strait of Hormuz and seek payment equivalent to 20% of cargo transported through the waterway, as renewed military exchanges with Iran disrupt shipping activity and push global oil prices higher.

US President Donald Trump said on July 13 that Washington was reinstating a naval blockade on Iran and would seek reimbursement for protecting commercial traffic through the Strait of Hormuz. “The Hormuz Strait is OPEN, and will remain OPEN, with or without Iran. We are reinstating THE IRANIAN BLOCKADE,” Trump wrote on Truth Social. He added that the United States would be reimbursed “at the rate of 20% on all cargo shipped” for the costs of providing security in the waterway. Trump said the process would begin immediately, but did not explain how the charge would be calculated, collected, or enforced.

Before the current conflict began in late February, the Strait of Hormuz handled approximately one-fifth of global daily oil and liquefied natural gas supplies.

US and Iran Dispute Control of Strategic Waterway

Trump had previously raised the possibility of the United States taking a more direct role in the strait during a telephone interview with Fox News’ Fox & Friends. He said Washington would probably operate the waterway and become its “guardian,” while arguing that other countries benefiting from secure passage should help cover the cost.

Iran, however, maintains that it controls access to the waterway. Tehran announced the strait’s closure on July 11 after what it described as an unauthorized transit. Iranian authorities said the following day that passage remained suspended and that navigation permits would be restored once stability and calm returned.

Iran’s Revolutionary Guards said regular maritime traffic could only resume if US military operations in the area ended. The organization warned that continued US intervention could trigger additional disruptions affecting global oil and gas markets.

The dispute intensified following renewed missile and drone attacks by US and Iranian forces over the weekend. Iran said it targeted US military facilities across the Gulf, including bases in Kuwait and Bahrain, while maintaining that the Strait of Hormuz remained closed.

The escalation has also cast doubt on an interim US-Iranian agreement signed in June. The arrangement was intended to reopen the strait and suspend hostilities while the two governments conducted an additional 60 days of negotiations.

Oil Prices Rise as Shipping Activity Declines

Oil prices rose by more than 3% on July 13 as traders assessed the risk of prolonged disruption to energy shipments through the strait. Brent crude futures increased by US$2.39, or 3.14%, to US$78.40 per barrel, while US West Texas Intermediate rose by US$2.17, or 3.04%, to US$73.58 per barrel. Both benchmarks had climbed by more than 4% earlier in the session.

Analysts said prices were being supported by both a geopolitical risk premium and concerns that fewer tankers entering the Persian Gulf could eventually affect regional oil production. Shipping companies have adopted a more cautious approach as security conditions deteriorate and uncertainty over access to the waterway increases.

Only six vessels transited the Strait of Hormuz on July 12, according to ship-tracking data from Kpler. The vessels were carrying Iranian crude oil and Kuwaiti petroleum products, and the total represented the lowest daily traffic level recorded in five weeks.

Shipowners, charterers, and insurers must also assess the probability of military incidents, vessel damage, crew exposure, and rapidly changing navigation restrictions. Continued disruption could increase freight rates, insurance premiums and fuel costs across international supply chains. Higher crude prices could also place additional pressure on inflation and transportation expenses, particularly for industries dependent on maritime freight, aviation, and long-distance trucking.

The crisis is strengthening interest in pipelines and export routes that allow Gulf producers to bypass the Strait of Hormuz. Goldman Sachs estimated that expanded Middle Eastern pipeline capacity could protect more than 60% of pre-war Gulf oil exports from potential disruption by the end of 2028.

Goldman Sachs expects effective pipeline capacity bypassing Hormuz to increase by 3.8 million barrels per day by the end of 2027 and by a cumulative 7.3 million barrels per day by the end of 2028. That would raise total effective bypass capacity to more than 14 million barrels per day.