Trump drops 20% fee plan for Hormuz Strait in favour of deals with Gulf states

US President Donald Trump on Tuesday ​dropped the idea of charging a 20% fee ‌on all cargo shipped through the Strait of Hormuz, and said he would instead take trade and investment deals with the ​Gulf states. The change of plan comes a day ​after Trump proposed charging a 20% fee to guard ⁠the waterway. “Based on highly productive conversations with Middle ​East leadership, I have decided to replace the 20% United ​States Reimbursement Fee with Trade and Investment Deals that the various Gulf States will be making into the United States, ” he ​said in a post on Truth Social. Trump did not ​mention any commitments by Gulf states, saying “Investments will be MASSIVE but, ‌at the same time, extraordinarily good for them, and their future. ” Shortly after Trump made the 20% fee proposal on Monday, the UN’s shipping agency said it opposed fees ​on ships passing ​through maritime ⁠waterways but added it would await more details of what Trump had in mind. In ​his post on Tuesday, Trump declared the ​Strait ⁠of Hormuz was open to all ship traffic except for Iran. “We will therefore have a FULL Blockade, but only ⁠on ​Ships coming to and from Iranian ​ports, or carrying anything having to do with Iranian cargo, ” he ​said.

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