Tensions between Iran and the United States continue to remain high, and now a new proposal involving the Strait of Hormuz has drawn global attention. According to reports, Iran and Oman are discussing an agreement that could give Iran greater control over commercial shipping routes passing through the strategic waterway. If implemented, the proposal could allow Iran to collect shipping tolls from commercial vessels, potentially generating tens of billions of dollars every year.
Iran-Oman proposal could reshape shipping through Strait of Hormuz
According to reports, the proposed arrangement would require commercial ships travelling in both directions through the Strait of Hormuz to pass via Iranian territorial waters. If that happens, Iran could receive the authority to charge transit or shipping fees on commercial vessels.
Iranian Deputy Foreign Minister Kazem Gharibabadi reportedly said that vessels travelling through the strait would move through Iranian territorial waters under the proposed arrangement. He also indicated that Iran has received signals suggesting that the United States may be willing to return to understandings mentioned in a memorandum of understanding signed in June.
However, no final agreement has been announced and discussions between Iran and Oman are still ongoing.
Iran reportedly seeks up to 7% shipping toll
Reports suggest Iran is pushing for a shipping charge ranging between 5% and 7% of the value of goods carried by commercial vessels. Oman, on the other hand, has reportedly proposed a lower rate of around 3%.
If Iran succeeds in imposing a 7% toll on commercial traffic moving through the Strait of Hormuz, estimates suggest the country could earn nearly $385 million every day, translating to more than $100 billion annually.
Such revenue would make the proposed toll one of the world’s biggest sources of maritime income, surpassing the historical annual toll collections of several major global shipping routes.
Why the Strait of Hormuz is so important
The Strait of Hormuz is one of the world’s most strategically important maritime routes. Nearly one-fifth of global oil supplies pass through this narrow waterway every day, making it vital for international energy markets.
Any change in shipping rules, transit charges or control over the strait could directly affect global oil prices, freight costs, insurance premiums and international trade. Energy-importing nations and shipping companies closely monitor developments in the region because even small disruptions can have worldwide economic consequences.
The proposal has therefore attracted significant international attention despite no formal agreement being reached.
Proposal could increase geopolitical tensions
Experts believe that any move giving Iran greater authority over commercial shipping in the Strait of Hormuz could further increase geopolitical tensions in the Gulf region.
The possibility of new transit charges may also trigger concerns among shipping companies, insurers and major oil-importing countries. At present, negotiations between Iran and Oman remain under discussion, and there has been no official confirmation that the proposed shipping toll system will be implemented.
If the proposal moves forward, it could become one of the most significant developments affecting global energy trade and maritime transport in recent years, with implications extending far beyond the Middle East.
First published on: Aug 06, 2026 05:29 PM IST
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Sagar Puri
Sagar Puri is a seasoned Senior Sub-Editor with over four years of newsroom experience, bringing sharp editorial judgment and an eye for detail to every story he handles. Over the years, he has worked across a diverse range of beats, including sports, education, news desk, entertainment, and lifestyle, giving him a well-rounded understanding of the digital news ecosystem.
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