Iran Demands a "Toll"

Current Situation: The State of the Strait of Hormuz

Especially at the start of the war, oil tankers and cargo ships were attacked using kamikaze drones, cruise missiles, and explosive boats. According to Iran, the attacks were primarily directed against shipping companies from hostile nations, namely the U.S. and Israel.(Bild: EPA/ABEDIN TAHERKENAREH)

A fragile ceasefire between Iran and the U.S. has been in effect since early Wednesday morning. But the Strait of Hormuz remains an important leverage point for Tehran. Iran is now demanding a toll from some commercial ships. Is this permissible? And will other countries provide military protection for the passage in the future?

One dollar per barrel of oil passing through the strait, payable in cryptocurrency—that is Tehran’s demand. This is reported by the “Financial Times” correspondent in Saudi Arabia on the short-form messaging service “X.” That amounts to an average of two million U.S. dollars in additional costs for shipping companies per passage. 

According to consistent reports, only a few individual ships have passed through the Strait of Hormuz since the ceasefire was announced. However, the vast majority of shipping companies are still waiting for the security situation to improve. Industry associations initially advised against uncoordinated passage.

This continues to have massive implications for global trade: The Strait of Hormuz connects the Persian Gulf with the Indian Ocean and thus links the region’s major oil-producing countries to global markets. According to the International Energy Agency (IEA), nearly 30 percent of the world’s shipped oil was transported through this route in 2023. While alternative routes do exist—such as pipelines through Saudi Arabia—their capacities are insufficient to compensate for a prolonged disruption of the maritime route.

Deep mourning at a ceremony marking the 40th day since the killing of Iran’s Supreme Leader Ayatollah Ali Khamenei(Bild: AP/Vahid Salemi)

Is Iran allowed to charge a toll for passage?
According to consistent reports, including those from the trade publication “Lloyd’s List,” Iran has introduced a kind of toll booth system in the Strait of Hormuz. Under this system, ships would have to submit documents, obtain clearance codes, and accept passage through a single controlled corridor escorted by the Revolutionary Guards.

According to experts, Iran’s actions are not covered by international law. Maritime law expert Nele Matz-Lück of the University of Kiel said that under international law, Iran is obligated to ensure that passage through the Strait of Hormuz is free of charge for civilian shipping. Valentin Schatz of the University of Lüneburg shares this view.

According to maritime law expert Schatz, the central part of the Strait of Hormuz, through which shipping routes normally pass, must be treated as international waters under international law. But even the coastal section, over which Iran has sovereignty, may be navigated. Schatz said it is questionable whether the right to free passage can be enforced in court. Iran is not bound by the International Tribunal for the Law of the Sea in Hamburg or the International Court of Justice in The Hague.

How do shipping companies assess the current situation?
German shipping companies are monitoring thesituationand waiting to bring their ships to safety. According to the German Shipowners’ Association (VDR), at least 50 ships belonging to German shipping companies are stranded in the Persian Gulf. In total, the VDR estimates that more than 2,000 people are affected. The companies themselves are not providing any details and cite the security situation.

How dangerous is it to pass through without consulting Iran?
Iran’s powerful Revolutionary Guards, the country’s elite military force, have taken control of the strait. At its narrowest point, it is only about 33 kilometers wide, but the actual shipping lanes are just a few kilometers wide in each direction. Precisely because of the narrowness of the passage, even limited military actions or threats can significantly disrupt shipping traffic, cause insurance premiums to rise, and drive up energy prices worldwide.

Now the Revolutionary Guards are warning of sea mines in the Strait of Hormuz. Late Wednesday evening, they published a map showing a danger zone in the usual shipping lanes. Against the backdrop of the war situation in the Persian Gulf, ships are advised to use a route further north to avoid possible contact with sea mines.

It is unclear whether mines are actually present in the corridors, which are only a few kilometers wide. According to its own statements, the U.S. destroyed a large part of the Iranian navy during the war. At the same time, the Revolutionary Guards have a large number of small, fast boats that are suitable for such operations and are reportedly stationed at well-hidden coastal bases.

What happens next?
Lasting détente depends on a lasting peace in the region. On Friday, representatives from Washington and Tehran plan to discuss this in the Pakistani capital, Islamabad.

For U.S. President Donald Trump, the blockade is increasingly becoming a domestic political liability. He can even envision cooperation with Iran. Securing the Strait of Hormuz could be organized as a joint project, he told ABC News according to the report. That would be a way to protect the route, including from other actors. He did not provide details.

It is unclear whether EU countries will also participate in naval missions off the Iranian coast in the future. Trump had called on NATO allies, among others, to support the U.S. in securing the Strait of Hormuz. They have recently been reluctant to make commitments. German Chancellor Friedrich Merz said on Wednesday that Germany would contribute in an appropriate manner to ensuring free navigation in the Strait of Hormuz. What exactly that means remains unclear.