Trump: Oil Ships Begin Moving Outside the Strait of Hormuz

SadaNews - President Donald Trump stated on Monday that oil-laden ships have started moving outside the Strait of Hormuz.

The U.S. President added, "The oil-laden ships are safely crossing from the southern route of the Strait of Hormuz, and there are other pathways available for navigation."

On the same day, U.S. Vice President J.D. Vance indicated that the United States expects the Strait of Hormuz to remain open without fees in the long term.

Global shipping and energy trading companies have cautiously welcomed the preliminary agreement between the United States and Iran to reopen the Strait of Hormuz, amid questions about the feasibility of safely resuming navigation after months of warfare.

Despite the U.S. President announcing that the strait would reopen on Friday, ship owners and traders are awaiting more details before returning to normal transit.

According to data from Kpler, around 600 ships remain stranded within the Arabian Gulf, while hundreds of other ships are waiting outside the strait to enter as soon as navigation is restored.

Security risks remain the main obstacles to the resumption of movement, given concerns about sea mines and the possibility of new restrictions on transiting vessels, alongside the ongoing rise in insurance costs.

Oil Prices

The U.S. and Israeli war on Iran, which began on February 28, has led to a halt in most maritime traffic through the strait, which routes about one-fifth of the world's supply of oil and liquefied natural gas, as well as products like aluminum and urea.

Oil prices dropped to their lowest levels since March on Monday, with Brent crude futures falling by $4.11 or 4.71% to $83.22 per barrel by 08:39 GMT, while U.S. West Texas Intermediate crude fell by $4.41 or 5.20% to $80.47.