Oman Proposes Transit Fee Plan for Shipping in Strait of Hormuz to US and Western Allies

The New York Times reported, citing sources, that the Sultanate of Oman has formally presented a proposal to the United States and its Western allies to introduce transit fees for shipping companies navigating through the Strait of Hormuz.

The report detailed that Oman recently submitted an official plan to the US and other Western partners, outlining a system whereby shipping companies would pay fees for using the strait.

According to the sources, Oman's proposal partially draws from the mechanisms used in the Malacca and Singapore Straits. The plan suggests that the fees would be officially optional, contrasting with Tehran’s insistence on mandatory fees.

Washington reportedly holds reservations about the proposal and seeks to discuss it further with Oman. US officials hope to resolve their differences through technical negotiations.

Earlier, Iranian Deputy Foreign Minister Kazem Gharibabadi stated that Iran is prepared to address the establishment of a new navigation system in the Strait of Hormuz. However, he added that if Oman does not demonstrate willingness to establish a joint framework to manage the strait, Iran will proceed independently.

Iranian Foreign Minister Abbas Araghchi noted that the Strait of Hormuz has remained open to maritime navigation for years, but its situation will not return to what it was following recent US and Israeli attacks on Iran.

Previously, Oman and Iran declared, after an Iranian delegation's visit for negotiations, that the countries bordering the strait should maintain sovereignty over it and that they would discuss its future. Furthermore, both parties intend to establish an agreement on a mechanism for ship passage through the strait in accordance with international standards, taking into account the costs borne by the coastal states.