Maths behind Hormuz toll: Is paying Iran for transit cheaper than blockade?
The closure of the Strait of Hormuz has significantly impacted global oil and LNG exports, leading to substantial economic losses. Iran has begun charging transit fees for vessels passing through the strait, which may be more cost-effective than the losses incurred from the blockade. The situation highlights Iran's strategic leverage in the region amid ongoing tensions with the US and Israel.
- ▪The Strait of Hormuz has been closed to naval traffic for eleven weeks, causing severe economic repercussions globally.
- ▪Iran has started charging transit fees, reportedly as high as $2 million per ship, to allow passage through the strait.
- ▪Before the closure, nearly 20 million barrels of oil were shipped daily through the Strait of Hormuz, accounting for a significant portion of global oil trade.
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| Original publisher | Al Jazeera English |
| Canonical URL | https://www.aljazeera.com/features/2026/5/21/maths-behind-hormuz-toll-is-paying-iran-for-transit-cheaper-than-blockade?traffic_source=rss |
| Publication time | Thu, 21 May 2026 13:31:11 +0000 |
| Retrieval time | 2026-05-21T13:56:11.044Z |
| Last seen | 2026-05-21T13:56:11.044Z |
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EXPLAINERFeatures|US-Israel war on IranMaths behind Hormuz toll: Is paying Iran for transit cheaper than blockade?Economics of the Strait of Hormuz closure are skewed towards Iran. Then why won’t the ships just pay Tehran and sail away?ListenListen (10 mins)SaveClick here to share on social mediashare-nodesSharefacebookxwhatsapp-strokecopylinkgoogleAdd Al Jazeera on GoogleinfoVessels sail through the Strait of Hormuz, Musandam, Oman, May 20, 2026 [Reuters]By Yashraj SharmaPublished On 21 May 202621 May 2026Eleven weeks after the start of the Iran war, the Strait of Hormuz has remained closed to naval traffic, bleeding the global economy far beyond the Gulf.Iran’s Islamic Revolutionary Guard Corps (IRGC) maintains an iron grip over the narrow, strategic waterway, while a corresponding…
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