Global oil prices tumbled on Friday after Donald Trump confirmed that Iran had reopened theStrait of Hormuzto commercial shipping during a fragile Middle East ceasefire, even as he insisted aUS naval blockade of Iranian portswould stay firmly in place.
Tehran's move follows a 10-day ceasefire agreed on Thursday between Israel and Lebanon, starting at 5 p.m. ET, aimed at pausing Israel's military campaign against Hezbollah, the Iran-aligned militant group embedded in southern Lebanon. That conflict has repeatedly complicated attempts by Washington and Tehran to strike any broader deal, and the Strait of Hormuz has become the most visible pressure point.
Iran's foreign minister, Seyed Abbas Araghchi, announced on social media that 'in line with the ceasefire in Lebanon' the passage for all commercial vessels through the strait was now 'completely open' for the remainder of the truce. Ships, however, are required to sail along what he called a 'coordinated route' laid down by Iranian maritime authorities, a condition that effectively keeps Tehran in control of traffic patterns even as it signals cooperation.
In line with the ceasefire in Lebanon, the passage for all commercial vessels through Strait of Hormuz is declared completely open for the remaining period of ceasefire, on the coordinated route as already announced by Ports and Maritime Organisation of the Islamic Rep. of Iran.
The fine print matters. Before the war, roughly a fifth of the world's crude oil supplies moved through this bottleneck between the Persian Gulf and the open seas. Its near closure in recent weeks has produced what officials and analysts describe as thelargest oil supply disruption in modern history, driving prices sharply higher and rattling governments already wrestling with inflation. On Friday, the pendulum swung the other way, with crude prices plunging more than 11% in the hours after Iran's announcement.
Trump, never shy about claiming credit, publicly thanked Iran for reopening the strait in his own social media post. Yet he immediately drew a red line, stressing that the US naval blockade of Iran's ports would remain in force until a broader agreement with Tehran is signed. That stance leaves global shipping in an uneasy in‑between state: tankers can move through Hormuz again, but Tehran's export lifelines stay squeezed.
To recall, Trump had already agreed to a two-week ceasefire with Iran on 7 April. In exchange, according to both sides, Tehran was to fully reopen the Strait of Hormuz. On paper, the understanding looked straightforward. In practice, it has been anything but.
Iran's parliamentary speaker, Mohammad Bagher Ghalibaf, has accused Washington of breaching the spirit of that deal by 'allowing' Israel to continue its campaign in Lebanon. From the Iranian side, the logic is blunt: how can there be a meaningful ceasefire arrangement if its ally Hezbollah remains under fire?
US officials, for their part, have not accepted that framing, and Trump has shown no inclination to treat Israeli military decisions as a lever in talks with Tehran. The result has been a stand-off in which both claim the moral high ground while oil tankers sit idle or creep through Hormuz in tiny numbers.
Despite the formal ceasefire, the strait has been almost entirely shut for most commercial shipping during the US–Iran pause, with only a handful of vessels making the passage each day. Friday's declaration by Araghchi appears to be Tehran's attempt to signal compliance with the April deal on its own terms, even as it keeps up the rhetorical pressure on Washington over Lebanon.
Source: International Business Times UK
