Iran Negotiates Strait of Hormuz Reopening Amid Demands for US Concessions

Iran and Oman are in the final stages of a maritime agreement to establish new shipping routes through the Strait of Hormuz. The strategic waterway, responsible for approximately 20% of global oil and liquefied natural gas traffic, has been obstructed since February 2024 following U.S. and Israeli military strikes against Tehran. While technical maps for navigation are largely resolved, Iranian officials state that the channel will not reopen to international commerce until Washington fulfills specific demands.

Conditions for Reopening

Iranian Foreign Minister Abbas Araqchi confirmed that despite progress with Oman, the restoration of safe passage is contingent on U.S. concessions. Tehran is demanding compensation for damages incurred during widespread air strikes, the release of frozen assets, and the removal of the U.S. naval blockade in the Gulf. Furthermore, Iranian security officials have called for an end to military threats and a cessation of U.S. actions against Iranian allies in Lebanon, Palestine, Yemen, and Iraq.

The Iranian parliament’s National Security Committee has approved a management plan for the strait that would prohibit transit by vessels from countries deemed hostile. Under the proposed interim deal with Oman, ships would enter near Iran and exit near Oman without paying fees or tolls, though Iranian officials noted that such services would typically require payment.