Is the Strait of Hormuz Reopening? Iran Signals Passage via Omani Waters

Proposal to route vessels via Omani waters signals potential easing of tensions at key global oil chokepoint

Is the Strait of Hormuz Reopening? Iran Signals Passage via Omani Waters
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Summary
Summary of this article
  • Iran is reportedly considering allowing ships to pass through the Strait of Hormuz via Omani waters as part of ongoing negotiations with the US.

  • The strait handles nearly 20–25% of global oil trade, with hundreds of tankers and thousands of seafarers impacted since the conflict began.

  • A potential easing of transit restrictions could stabilise oil markets, freight costs, and global energy supply chains.

Iran is reportedly considering allowing ships to sail freely through the Strait of Hormuz via the Oman coastline to reduce the risk of attacks, as part of proposals offered in negotiations with the US, Reuters reported citing sources. The war, which began on February 28, has kept global trade on edge and triggered one of the largest disruptions to global energy flows in recent years.

The Strait of Hormuz carries nearly 20–25% of global oil trade, making it one of the world’s most critical maritime chokepoints. According to reports, hundreds of tankers and nearly 20,000 seafarers have remained stranded inside the Gulf since the conflict escalated.

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According to the report, Iran may allow ships to pass through the narrower stretch of the strait via Omani waters without interference from Tehran. Following the announcement of a two-week temporary ceasefire, Iran allowed limited vessel movement but imposed transit tolls, complicating negotiations.

Tehran had also warned about the possible deployment of sea mines in the strait while offering alternative passage arrangements. Sources cited in the report did not clarify whether Iran would agree to remove any mines it may have placed along the Omani side of the waterway or whether all vessels, including those linked to Israel, would be allowed unrestricted passage.

Why Tehran’s offer is significant

Iran’s proposal to allow transit via Omani waters marks a notable shift from its earlier aggressive stance on shipping through the strait. After the war began, Tehran asserted near-complete control over the waterway, imposed toll demands for passage, and restricted vessels linked to Israel and the US.

The International Maritime Organization had warned that imposing transit tolls could set a dangerous precedent, reflecting wider concerns about the future of global maritime norms.

Amid heightened geopolitical tensions in West Asia, oil prices have surged to multi-year highs, while freight rates have climbed and insurers have reassessed risk exposure. Together, these factors have tightened global supply and increased volatility in energy markets.

Trump on the Strait of Hormuz

On Wednesday, US President Donald Trump said China had agreed not to supply arms to Iran and expressed optimism about reopening the Strait of Hormuz. Earlier this week, Beijing denied US allegations that it was providing military assistance to Tehran. Trump and Chinese President Xi Jinping are expected to meet next month, though dates have not been confirmed.

“China is very happy that I am permanently opening the Strait of Hormuz. I am doing it for them also — the world,” Trump said in a Truth Social post. “They have agreed not to send weapons to Iran. President Xi will give me a big, fat hug when I get there in a few weeks. We are working together smartly.”

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