Oman's Foreign Minister Badr Albusaidi clarified on Thursday that future transit through the Strait of Hormuz would not involve any transit fees. This statement was made at a meeting of the Gulf Cooperation Council and the US in Bahrain. Albusaidi emphasized Oman's role as a coastal state and its dedication to securing maritime navigation in line with international law and the UN Convention on the Law of the Sea. This clarification comes after concerns arose from an earlier agreement between Iran and Oman regarding the "costs associated" with managing navigation in the strait.
Previously, Iran and Oman had announced that they would work on an agreement for the future administration of the Strait of Hormuz, including the costs of managing transit. This announcement, made on June 23, 2026, sparked worries among traders and shipowners about the potential introduction of a tolling arrangement. The joint statement from Iran and Oman committed both countries to keeping Hormuz secure and open for international navigation, but the mention of "costs associated with them in accordance with international standards" left room for interpretation.
Following a ceasefire after a conflict between the US and Iran, Oman and the UN's International Maritime Organisation (IMO) established a temporary shipping transit corridor in the Strait of Hormuz. This corridor was set up to help evacuate over 11,000 stranded sailors and ensure free navigation without imposing any tolls. The initiative was in line with a peace agreement signed on June 17, under which the US and Iran agreed to lift existing blockades. The IMO stated that the original shipping route could not be used due to security concerns, including reports of dozens of mines.
International bodies and countries, including the International Union of Marine Insurance (IUMI) and the United States, have maintained that the Strait of Hormuz is an international waterway where tolls or fees are not permissible under existing international law. US Secretary of State Marco Rubio, for instance, stated that Iran would not be allowed to impose tolls. While the initial memorandum of understanding guaranteed no tolls for the first 60 days, the subsequent discussions between Iran and Oman on "services" and "costs" caused uncertainty in the shipping industry, which insists on unrestricted transit. Oman's latest statement aims to alleviate these concerns, reiterating its commitment to fee-free passage.
